Housing-Rich, Income-Poor
The potential of housing wealth in old age

Author: Sonia Sodha
Contributors:
Price: Free
Publication Date: 01 October 2005

What is the potential of housing wealth? Can it fill a gap left by the declining adequacy of pension wealth? The answers to these questions are crucial in deciding what role government should take, if any, in helping people to release equity from their home.

Many have been sceptical about the potential of housing wealth in this context, others have been less so. There has been no recent analysis of disaggregated data on housing wealth by income for those who are retired, and pension wealth for those who are yet to retire.

While it is broadly right to conclude that housing wealth cannot be a complete solution to the pensions crisis, three inter-linked questions still remain.