"The long-term strength of the housing market is delivering for retired homeowners who have made around £7,900 in the past year."
Retired homeowners have gained more than £7,900 each in property wealth in the past year, with total property wealth growing by £37 billion to near a record high of over £1.1 trillion, according to Key Retirement data.
Owning a home outright has therefore been worth nearly £660 a month on average for retired homeowners.
Over-65s in the South East and East Anglia have been the biggest winners with gains of more than £1,000 a month while retired homeowners in the West Midlands have made £960 a month.
Since Key started analysing over-65s housing wealth in 2010 retired homeowners have seen growth of 41%, or £321 billion, which is worth around £68,500 each on average.
Dean Mirfin, chief product officer at Key Retirement, said: “The long-term strength of the housing market is delivering for retired homeowners who have made around £7,900 in the past year.
“Total property wealth of more than £1 trillion means pensioners who have paid off mortgages can rely on using their homes to generate tax-free returns no matter what happens in the short and medium term.
“The average homeowner is releasing through equity release the equivalent of the gains made since 2010 and property wealth is having a dramatic effect on the standards of retirement living for many thousands across the UK.”