NORTHUMBERLAND is one of the best places to downsize in the country, according to a new study by Equity Release and Mortgage Partnership.

Despite rising mortgage rates and ever-climbing house prices, downsizing is an effective way to release money for life improvements and other costs, with many able to release hundreds of thousands from their homes.

However, a recent study revealed Stamp Duty Land Tax is one of the most significant barriers to downsizing.

READ MORE: Renewable energy in Northumberland could fuel millions of homes

With most downsizers aiming to stay in the same area, a study by Equity Release and Mortgage Partnership uses data from the Office for National Statistics to identify the best places to downsize even after taking SDLT into account.

By comparing differing costs between detached, semi-detached and terraced houses, the team revealed where in the UK you can maximise the value of downsizing.

Northumberland statistics:

  • By moving from a detached house to a semi-detached, the average money released would be £214,757
  • By moving from a semi-detached house to a terraced property, homeowners can unlock £27,537 on average

The top place to downsize was Merton in London, with a cost difference of £1,672,073 between detached and semi-detached homes and 59.41 per cent difference between the two.

This was followed by Runnymede in Surrey, with a difference of £641,213 and 56.39 per cent.

Northumberland took third place with a £214,757 cost difference and 56.39 per cent.

Tom Evans, Equity Release and Mortgage Partnership expert adviser, said: "As is shown by our research, downsizing can release a great deal of money which can have a significant impact on the quality of your life. Even when taking into account things like SDLT, there are still gains to be made for movers across the country.

"However, downsizing won’t be for everyone and, for older homeowners who may be considering it, a more popular choice will be to stay in the homes they’ve lived in for years. This is why it’s best to consider all your options before making such a major decision. There are multiple ways to release equity invested in your home and an experienced adviser will be able to help you make the best choice for yourself and your family.”

Location

Detached

Semi-detached (incl. SDLT)

Cost difference

% difference

Merton

£2,814,545

£1,142,472

£1,672,073

59.41%

Runnymede

£1,137,190

£495,977

£641,213

56.39%

Northumberland

£400,616

£185,859

£214,757

53.61%

Elmbridge

£1,605,147

£750,703

£854,444

53.23%

Trafford

£790,460

£392,213

£398,247

50.38%

Bradford

£368,229

£185,587

£182,642

49.60%

Hartlepool

£288,621

£146,599

£142,023

49.21%

County Durham

£273,103

£139,133

£133,970

49.05%

Chichester

£834,030

£429,251

£404,779

48.53%

Hammersmith and Fulham

£4,253,571

£2,197,665

£2,055,907

48.33%