Do you have a home of your own and your retirement provision is secured? According to a study, the calculation is no longer that easy for many people in Germany. Trust is particularly low in one age group.
According to a survey, confidence in owning your own home as a retirement provision has fallen among working people in Germany. While in 2020 51 percent were of the opinion that one’s own four walls were the most trustworthy precaution, the rate has gradually fallen to 42 percent, as shown by a YouGov survey commissioned by HDI Insurance.
At 37 percent, approval is particularly low among those under 45 years old. A total of almost 3,900 working people in Germany were surveyed in May and June of the current year.
Increased costs, reduced reputation
“In addition to the rising interest, renovation and construction costs that are putting a strain on the current construction economy, the reputation of “Concrete Gold” as a means of making provisions for old age is apparently also suffering – especially among younger people,” explained Jens Warkentin, CEO of HDI Germany.
Despite the decline, home ownership remains in first place in the ranking of the most trustworthy forms of provision. Stocks or funds achieved 22 percent of mentions, placing them in second place. Rented properties are behind at 20 percent, followed by cash (19 percent). Private life and pension insurance (18 percent), company pension plans (18 percent) and statutory pensions (17 percent) received less popularity in the most recent survey than in 2020. At that time, these forms of pension provision were 24, 20 and 22 percent, respectively. Multiple entries were possible.
Source: Stern
