Property loses shine for investors

Covered mag, presented by Gocompare.com
  • | by Kristian Dando

The number of people who see property as the best long-term investment has fallen to its lowest level, according to research from the Association of British Insurers.

Of the 2,500 people surveyed, 34 per cent saw property as the best long-term investment in the last quarter of 2010, down from 49 per cent just three months previously. While property still remains the most popular asset class, the number of people who favour it is at the lowest level since the ABI started its survey in 2008. Savings accounts with a bank or building society, stocks and shares individual savings accounts (ISAs) and national savings products all grew in popularity.

Meanwhile, building society Prudential has reported that more than one in five people will still have debt when they retire, owing an average of around £33,000, with mortgages and credit cards being the major sources of debt.