Retired homeowners in the UK own outright property worth £765.18bn, with a third of it located in the South East and London, according to research from Key Retirement Solutions.

Over-65s in the South East own property worth £123.44bn compared with £122.65bn held in London, all without any mortgages. However, property wealth is spread throughout the UK, with retired homeowners in the South West owning 15% of the total housing equity stock at a total value of £115.64bn.

Dean Mirfin, business development director at Key Retirement Solutions, said: “The housing market has been through a tough time and there are still doubts over the strength of the recovery.

“However it is undeniable that the over-65s own considerable property wealth outright which represents a massive investment success as many of them will have bought their homes more than 20 years ago.

“The property wealth owned outright by pensioners represents a potential source of income for the over-65s particularly when other sources of retirement income are under pressure from low interest rates and annuity rates.”