Introduction to the Video
Many people view their home as a pension, often opting to invest in property rather than equities. While property has historically been seen as a reliable investment, Professor Jens Hagendorff from Edinburgh Business School explains why caution is needed when relying on property for long-term financial security.
In this video, Professor Hagendorff highlights the risks associated with property investment, including its volatility, lack of diversification, and high transaction costs. He also addresses common misconceptions, such as the challenges of maintaining and downsizing property, and how these factors can erode the perceived financial benefits of using a home as a pension.
The video offers practical advice for assessing property investments, such as evaluating rental income as a reference point for value. It also reminds viewers of the critical consideration that, if your home is your pension, you’ll still need somewhere to live in retirement.
This video is an essential watch for anyone considering property as a retirement strategy, providing balanced insights to help you make informed decisions about your financial future.
Disclaimer: This video does not constitute financial advice. We recommend that you speak to a qualified financial planner for advice tailored to your individual circumstances and goals. Financial markets may go up or down, and you are not guaranteed a return on your investment. Past performance is not necessarily a guide to future performance.
