Retired homeowners 'still struggling with mortgages'Retired homeowners 'still struggling with mortgages'
Over a million retired mortgage holders in the UK still do not own their home outright, according to a new study.
New research by Scottish Widows has revealed that one in eight retired homeowners owe as much as £50,000, compared with the average outstanding mortgage debt of £38,000.
In addition, retired homeowners also have an average of £5,900 in outstanding unsecured loans.
Ian Naismith, head of pension market development at Scottish Widows, said that outstanding mortgages add financial pressure to a hard-earned retirement fund.
"It is important for those people who will be reaching retirement […] to consider how best to prepare themselves for the eventuality of having to juggle their debts on a reduced income."
Retirees looking to buy a new home but are worried about their personal finances could consider equity release.
According to trade body Safe Home Income Plans, retired homeowners withdrew a record £300 million from their homes between April and June.