There’s a new trend of ‘buy-to-let-to-retire’ which seems to challenge the traditional route of selling up and downsizing.

Many of those looking to buy their ideal home for retirement will exploit the changes to pension regulations that came into force in April 2015.

More than half (52%) of over-55s looking to ‘buy-to-let-to-retire’ said they would consider using a lump sum from their pension savings to fund all or part of the purchase.

Nearly three 10 also said they planned to make a buy-to-let investment in the next two years and of those, 70% said this would be the first time they’re investing in the sector.

The study of more than 2,000 people, conducted by pension, saving and retirement firm Prudential also found that some over 55s (17%) are buying property in order to hand it down to loved ones in the future.

Of those over 55s who had already made a buy-to-let investment, 32% said they had done so to secure a property to live in one day.

Stan Russell, a retirement expert at Prudential, said: “The advent of older people opting to buy-to-let-to retire is an interesting development, and in a post-pension freedoms world its appeal is understandable. However, there are a number of risks involved for anyone looking to take money from their pension savings, irrespective of the reasons.

“Before making decisions that could reduce retirement income in the future, not to mention increase this year’s tax bill, it is important to make the most of the advice and guidance available.”

Russell added the simplest approach for most people looking to secure their ideal home when they retire is to save as much as possible into a pension as early as possible in their working life.