New pension rules mean that you have greater access to your pensions, which will mean a fantastic year ahead for investors and the lettings market!
As of last year people have greater access to their pension when they reach retirement age of 55, they can currently release up to 25% of their total pension savings as a tax-free lump sum. From April 2015 the remainder can be released at the individuals’ tax rate, in other words you can take as much as you like out of your pension in cash!
House prices are continuously rising and the high demand in assured tenancies, many over 55s may look to the property market to invest in the cash they have withdrawn from their pensions. With rising house prices and ever increasing rental values in Andover, these investors could see their retirement funds flourish dramatically; they will be able to live off of the rental income whilst still ensuring their money is firmly invested in the property itself, which is only forecasted to increase in value over the coming years.
With this fantastic opportunity in mind, we expect to see a high increase in investors purchasing properties following the changes being introduced in April, and of course an influx of rental properties coming to the market between early to late summer.
As one of the market leading letting agents in Andover, a reoccurring problem we have is demand for property outweighing what is available, so this is great news for Connells Lettings!
If you would like to speak to your local experts, to find out what properties are most in demand, what will give you the best return and how to maximise your rental income, please contact our dedicated lettings team on 01256 357 616 for free and impartial, lettings advice.
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