Monday 27th of April 2009
Older people in the UK could be facing debt management problems due to the decline in house prices, it has been noted.
Michelle Mitchell, charity director at Help the Aged and Age Concern, explained that the falls mean that those who were planning to rely on the equity in their home for finance may be unable to do so.
"Falling property prices could limit the options for older people planning to sell their home and use the proceeds to pay for care," she remarked.
Those who have entered into negative equity and are therefore struggling to obtain finance may wish to consider seeking IVA advice in order to identify non-borrowing solutions.
Ms Mitchell’s comments came after figures showing that older people have been particularly affected by price drops over the course of the last year.
According to propertyfinder.com, the average pensioner has seen £52,000 wiped off the value of their home.
- House price rise 'may not indicate recovery'
- Equity release 'needs to be increased'
- Need for IVA help could increase as expert predicts reduction in lending
- Government announces 'breathing space' for those needing IVA help
- Lack of subprime lending creating need for IVA help, expert suggests
- IVA answers may provide protection against rising loan rates
