Families across England and Wales are being saddled with significant financial burdens as they struggle to sell empty retirement properties inherited from elderly relatives. These properties, often subject to age restrictions and high ongoing costs, are proving difficult to offload even after substantial price reductions.
A Millstone Instead of an Inheritance
One poignant case involves Gordon Taylor, who inherited his mother Joan's retirement flat in Burgess Hill, West Sussex. Joan Taylor had purchased the property for £225,000 in 2015, benefiting from a 125-year lease. The flat is located in a block exclusively for residents aged 70 and over, which severely limits the pool of potential buyers.
Following Joan's death in June 2024 at age 96, Gordon has been unable to sell the property despite slashing the asking price by £55,000 to £170,000. Meanwhile, he remains responsible for substantial annual costs: a service charge of £9,700, ground rent of £435, and council tax of £1,044.
"She probably thought she was leaving something to her offspring, only to find that it's become a millstone," Gordon Taylor told the BBC.
A Widespread Problem
Gordon's situation is far from unique. Another individual reported to the BBC that they had reduced the asking price of their late mother's retirement flat by £200,000 without receiving a single offer. This highlights a growing issue affecting numerous families.
Property experts estimate there could be approximately 10,000 long-term empty properties in privately owned retirement blocks across England and Wales. However, the Retirement Housing Group (RHG) maintains that 95% of retirement properties remain occupied, suggesting the problem, while significant, affects a minority of such homes.
Contrasting Housing Market Trends
This struggle with retirement properties occurs against a backdrop of a generally resilient UK housing market. According to Halifax, the average UK house price has surpassed £300,000 for the first time, reaching £300,077 after a 0.7% monthly increase in January 2026. Annual growth also edged up to 1.0%.
Amanda Bryden, Head of Mortgages at Halifax, commented: "The housing market entered 2026 on a steady footing. While crossing the £300,000 threshold is a milestone figure, and activity levels show a resilient market, affordability remains a challenge for many would-be buyers."
Karen Noye, a mortgage expert at wealth manager Quilter, added: "Crossing the £300,000 threshold will be welcome news for existing homeowners, but it's yet another nail in the coffin for first-time buyers already battling stretched affordability."
The Financial Strain on Families
The combination of restricted buyer pools for retirement properties and high ongoing fees creates a perfect storm for inheriting families. Key challenges include:
- Age Restrictions: Many retirement complexes only allow residents over a certain age, dramatically reducing potential buyers.
- Substantial Fees: Service charges, ground rent, and council tax can total thousands annually, draining finances while properties sit empty.
- Market Perception: Retirement properties may be seen as less desirable or flexible compared to standard homes.
- Price Sensitivity: Even significant price cuts may not attract buyers in a niche market segment.
For families like the Taylors, what was intended as a valuable inheritance has transformed into a persistent financial obligation. As the broader housing market reaches new price milestones, those dealing with inherited retirement properties face a very different reality—one of dwindling equity and mounting costs.
