Property website Rightmove says that two in five of those intending to sell their homes in the next year are intending to trade down to smaller properties. Rightmove have conducted research to find out the main motivations of people intending to move home. The main reasons for wanting a smaller house appear to be "three ds" - death, debt and divorce as well as retirement.
Of the people responding to the survey only one in four were looking to trade up to a larger property.
These figures are included in Rightmove's Consumer Confidence Survey and reported in the Rightmove House Price Index for May 2012.
With an aging population it is perhaps not surprising that many people are looking to move to smaller, more easily manageable homes. Rising fuel costs are propbably an important factor. If you no longer need to provide a home for children, why not move to somewhere more comfortable? This trend could have important implications for the buy to let market in the years to come if there is an increase in demand for rentals from people who have never got on the ownership ladder and just need a pleasant and cheap to run home for their retirement. They might be deterred by the traditional shorthold tenancy of six months or a year but could well be prepared to enter into a longer term tenancy, giving themselves and the landlord a greater element of certainty.
If you own rental property make sure it is protected with buy to let insurance cover. Declare your tenant type to your providers to ensure you have the correct cover. Pleasingly, you will usually find that insurance rates are some of the lowest for retired tenants. If you need cover now why not contact click4quote.com insurance