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Almost half of over 55s would downsize to fund holidays abroad

Emma Lunn
Written By:
Emma Lunn

The majority of homeowners aged over 55 would downsize to release cash to pay for foreign trips, according to SunLife.

The over 50s experts surveyed 1,000 homeowners, asking what they would do if they had to choose between staying in their family home but never holidaying abroad, or downsizing and using the cash to go on foreign holidays.

It found 44 per cent of over 55s would downsize to pay for foreign holidays, rising to 50 per cent for those aged between 55 and 65. Grandparents and those aged over 65s were most likely to sacrifice holidays to stay in their homes.

In the 65 to 80 age group, 62 per cent said they would never go on holiday abroad again if it meant they could continue to live in their current home. In the 55 to 64 age group it was an even 50/50 split.

SunLife found women were slightly more attached to their homes than men, with 57 per cent saying they’d sacrifice foreign holidays compared to 56 per cent of men.

Another factor that makes a big difference is grandchildren – 58 per cent of those with grandchildren wanted to stay in their family home even if it meant no more globetrotting, compared to 45 per cent of those without.

Also, when asked ‘if money wasn’t an issue and you could live anywhere in the world, where would you live?’ over 55s with grandchildren were the only group where the majority would choose to stay put with 52 per cent saying they would stay where they were, compared to just 35 per cent of those without grandchildren.

Simon Stanney, equity release director at SunLife, said: “Our Home Sentiment research shows that foreign holidays are clearly very important to over 55s, with 44 per cent prepared to downsize in order to be able to go on holiday abroad.

“But equally, we can see people are really tied to their homes because even when money isn’t an issue, many would choose to stay where they are.

“It is clearly a tough choice, but maybe it is one over 55s don’t have to make. Equity release allows homeowners over 55 to release some of the value from their home without having to move. The money released can be spent on anything they like – including holidays.”