Families are facing challenges in selling inherited retirement properties left by elderly relatives, struggling to attract buyers despite price reductions. One individual, Gordon Taylor, lowered his late mother’s retirement flat price by £55,000 to £170,000 but still faces difficulty in selling the property. The flat, located in Burgess Hill, West Sussex, was originally purchased for £225,000 in 2015 and is limited to buyers over 70 years old due to block regulations.
After his mother’s passing at the age of 96 in June 2024, Gordon Taylor took on the responsibility of covering annual expenses, including a service charge of £9,700, ground rent of £435, and council tax of £1,044. Expressing frustration, he mentioned how what was intended as an inheritance has now become a financial burden.
Another person shared a similar experience, reducing the asking price of their late mother’s flat by £200,000 without receiving any offers. Reports suggest that there may be approximately 10,000 unoccupied properties in privately owned retirement blocks in England and Wales, while the Retirement Housing Group (RHG) states that 95% of retirement properties are currently occupied.
In other property news, the UK’s average house price has exceeded £300,000 for the first time, with a monthly increase of 0.7% according to Halifax. Annual property values rose by 1.0% in January, reaching an average price of £300,077. Amanda Bryden from Halifax noted the market’s steady growth and the challenges of affordability for potential buyers.
Karen Noye, a mortgage expert at wealth manager Quilter, highlighted the impact of the £300,000 threshold on first-time buyers, emphasizing the ongoing struggle with affordability in the housing market.