A good proportion of the Financial System Inquiry’s 460-page interim report is dedicated to a discussion of superannuation and, in particular, to making the financial system better at facilitating the conversion of super into retirement income. The Conversation.
“Baby boomers are often touted as one of Australia’s most prosperous generations. They are living longer, retiring later, and commonly labelled as the beneficiaries of Australia’s growing property market,” Ms Sprekos said.
“Our findings tell quite a different tale – current and future retirees are struggling to navigate a range of new affordability pressures for which their superannuation funds may not be sufficient.”
Despite their Housing Wealth, Senior Australians are struggling to fund retirement and are dreading that phase of their lives.
despite their Housing Wealth
The numbers are in and it is clear that the Australian Reverse Mortgage market has failed!
At a time when Asset Rich but Cash Poor retirees are struggling to “stay in place”, fewer are turning to Reverse Mortgages as a way to tap into their home equity wealth.
The Equity Bank (Government-Funded Equity Release Scheme) may not be the best idea but at least the UK Government is engaged in the Equity Release discussion!
What will it take for the Australian Government to Step Up?
The Productive Ageing Centre today released its research into the attitudes of Senior Australians towards downsizing their home.
Equity Release offers the choice to “Stay in Place”.
Baby Boomers who bought houses in the 60s, 70s and 80s have lived for free, with capital appreciation far out-stripping the cost of their mortgage. Their children will not be as fortunate. This cannot be the right outcome for a fair society.