Rental in retirement is making a comeback – is it the right option for you?

Blog posted

2nd November 2018

Many retirees are choosing to jump off the property ladder and opt for the flexibility of renting. Marketing director Sarah Burgess looks at why this is the case and discusses the options available.

It may seem counter-intuitive to rent in retirement when you’ve spent a lifetime trying to achieve a degree of property utopia – owning your own home and being free of a mortgage.

There’s even a hint of irony considering so many young people want to get onto the property ladder, but can’t. So, why on earth would you want to sell your hard-earned home to go back to square one and rent again?

Well, it’s not for everyone, but there is more than a good amount of logic to it and the fundamental benefits of renting don’t change just because we grow older.

Research by the Centre for ­Ageing Better revealed that 414,000 older people are privately renting, which is a huge increase from 254,000 in 2007. Furthermore, it reckons a third of people aged over 60 could live in private rented accommodation by 2040.

Clearly not everyone is actively choosing to rent in older age. High house prices can make it too expensive to move home in later life, but nonetheless renting in retirement is becoming an ever-more popular option.

Here are some reasons why:

Make the most of the here and now

One of the biggest drivers of homeowners aged 60 and above considering rental in retirement is the desire to enjoy their money (equity) now. Many of us understandably want to release that cash sooner rather than later, so we can enjoy it or even see our children/grandchildren enjoy it. 

Not owning a property can also make it easier to pass on your inheritance. Renting doesn’t solve all the inheritance tax challenges, but turning your home into a liquid asset does help. You should seek proper financial advice, though, if this is your primary driver.


An obvious benefit, but one of the strongest. Renting a property means you are not tied down to a long-term mortgage or contract. Depending on the agreement, you can more or less move out or change location when you want. 

Moat Park, Great DunmowLess responsibility

Some can see maintaining your own property as a chore, but this isn’t a problem when you’re renting. Boiler broken down? The landlord should deal with it. Expensive roof repair? Tell the landlord.

Extra cash

The theory goes that if you sell your home and rent, the proceeds of the sale are yours to use as you wish, i.e. the cash is not tied up in the purchase of a new home.

Avoid stamp duty

This one doesn’t need much explanation, but many retirees opt to rent after they sell their home simply to avoid hefty fees associated with the purchase of a new home.

Of course, this should be balanced by the fact much of the above depends on how responsible your landlord is in the first place. But if you have a good relationship with your landlord or the agents, then renting is usually pretty plain sailing.

Renting at Retirement Villages

Meadow View, Moat Park, Great DunmowWe recognise that renting isn’t for everyone, but it is a fantastically flexible option both personally and financially when choosing a property at Retirement Villages.

We have two main offerings:

  • Rent to buy
  • Long-term rental

You can find out more information here, but these are the basics:

Rent to buy*

This scheme means you can move into your new home much sooner. The quicker you can move into your new home, the quicker you can begin enjoying the lifestyle Retirement Villages has to offer.

What happens?

  1. You exchange contracts on your new Retirement Villages property and pay a 10% deposit.
  2. You move into your new home and enjoy six months rent free!
  3. You then have between 6-24 months paying full rent until completion.

Rent to Buy removes some of the time pressure from selling your existing home. The only additional costs are your council tax and utility bills.

Long-term rental*

Undecided about your retirement location? Then a long-term rental could be the perfect option.

You get to try out the Retirement Villages lifestyle in full, without the permanent commitment of purchasing a property. 

What happens?

  1. We offer a minimum 12-month assured shorthold tenancy.
  2. The monthly rental fee includes full use of all of our exclusive village facilities.
  3. The only additional costs incurred will be your council tax and utility bills.
  4. Plus there is no Stamp Duty to pay!

Helpful Information, Retirement VillagesRead more about our rental options, but often the best start is to see the villages and properties themselves. There’s a few ways you can do this:

  1. Request or download an A-Z Guide on retirement living
  2. Read our Village Life magazine to find out what really happens
  3. Attend an open day, where you can enjoy some light refreshments and view our properties with zero pressure
  4. Make use of our Try Before You Buy scheme, so you can sample village life and speak to our residents

If you have any questions or would like more information on our rental schemes, please feel free to call us on 01372 383950.

* Rental properties are plot specific at a selection of villages.