Homeowners aged over 60 now hold 56% of the UK’s owner-occupier housing wealth, with a total net value estimated at £2.89 trillion, according to new figures from Savills. Despite this substantial equity, the group still has £60 billion in outstanding mortgage debt, representing around 2% of the value of their homes.
Savills’ analysis shows that over-75s alone account for nearly a quarter of the UK’s property wealth, while those under 35 hold just 6%. Older homeowners are more heavily concentrated in regions such as the South West and Wales, with lower representation in London.
The figures highlight the deepening generational divide in property wealth. Older generations, having benefited from decades of equity growth and reduced borrowing, now dominate the housing market, while younger buyers have faced greater barriers to building property wealth.
Savills argues that encouraging downsizing among older homeowners could help ease pressure on the housing market by freeing up family-sized homes and releasing equity to support younger buyers.
Regional estimates from the research show that the South East leads with £603 billion in housing wealth among those over 60, followed by London at £400 billion, the East of England at £354 billion, and the South West at £326 billion. Other regions include the North West with £234 billion, the West Midlands with £212 billion, Scotland with £186 billion, the East Midlands with £178 billion, Yorkshire and the Humber with £169 billion, Wales with £106 billion, the North East with £64 billion, and Northern Ireland with £54 billion.
Savills based its calculations on a combination of HM Revenue & Customs data, the Census, and the English Housing Survey. The findings have important implications for businesses involved in property development, retirement living, and financial services that target later-life planning.
