House, holiday and kids – top retirement aspirations for homeowners over 40 revealed

  • Home and garden improvements trump day-to-day living expenses as top retirement priority for over a third (36%) of homeowners over 40
  • Nearly one in four (24%) said a holiday of a lifetime was on the cards
  • Children and grandchildren also a priority as almost a quarter (23%) said they would help them onto the property ladder

Research* from Canada Life reveals the top retirement expenditures for homeowners over 40. Over a third (36%) said they would prioritise home or garden improvements, this was closely followed by topping up day-to-day living (32%) and nearly a quarter (24%) said they would pay for a holiday of a lifetime.

Supporting family members was a priority for a number of homeowners. Almost a quarter (23%) of respondents said they would spend their money on helping children or grandchildren onto the property ladder, and 15% said they would help pay for their children or grandchildren’s education. Achieving financial security was also important for this group of homeowners with 14% saying they would clear an outstanding mortgage and 9% saying they would prioritise paying off any unsecured debts.

Top retirement aspirations

  1. Home / garden improvements for comfort 36%
  2. Top up day-to-day living 32%
  3. Pay for a holiday 24%
  4. Help children / grandchildren onto property ladder 23%
  5. A new car / caravan 20%
  6. Pay for children / grandchildren’s education 15%
  7. Home / garden improvements for safety 15%
  8. Clear an outstanding mortgage 14%
  9. Pay off unsecured debts 9%

To help boost their retirement income to achieve these plans, two fifths (41%) of homeowners plan to access their savings and investments, while a fifth (20%) will take a tax-free lump sum from their workplace pension and 17% will continue working into retirement.

A number of homeowners said they would use their property to access extra cash with 14% planning to sell their current property and downsize, and 12% considering releasing equity from their property.

Alice Watson, Head of Marketing, Insurance, Canada Life said: “It’s clear that we all have our unique goals for later life, and our own way of achieving them, whether that be using savings, pension or property wealth. As a result, no one individual’s retirement plan is likely to be the same as someone else’s. Property wealth is growing and increasingly being used alongside other assets as part of a more holistic retirement plan.”

*Research among 1,020 UK homeowners aged 40+ conducted by Opinium Research between 26-31 March 2021.


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