Scottish Property magazine

in association with

They're wise, they're inconspicuous and they certainly know how to swipe a bargain. These steely-eyed retirees have gathered strength as they continue to show up at property auctions around Scotland to outbid and outmanoeuvre other bidders, as we witness............... the rise of the 'Grandlords'.

With the recent global financial crisis taking its toll on pensions and savings, retirees began looking at other ways to finance their golden years. As a result, property auctions across Scotland began reporting more property investors over the age of 65 aka 'Grandlords' snapping up properties that they can rent out to boost their retirement income.

They might not be the stereotypical image of a sleek property investor but these cash rich investors come to auction already fulfilling the very basic criteria to snap up a bargain and get on the buy-to-let property ladder. They're not relying on government schemes to get a mortgage, are not striving to put a large deposit together and often have the advantage of being deposit ready on more than one property. You typically require a 20-30% deposit on a buy-to-let property to secure a competitive mortgage rate and at auction you need to put down at least 10% on auction day with the balance being paid within 28 days, albeit some auctions have a 14-day deadline.


With ongoing bills to be paid and a pension that doesn't quite cut it, it's easy to see why becoming a Grandlord (or indeed a 'Grandlady') is an attractive option. Even more so when you're living in what's effectively an oversized nest of cash from which the kids have long since flown. For many it's a no brainer and the perfect and most empowering financial solution.

Research from Simply Business revealed a steep rise in the number of UK landlords aged over 65. Findings based on more than 300,000 landlord insurance quotes show a significant trend in emerging retiree landlords with an increase of 12 per cent in 2013 and rising by 34 per cent since 2009. There has been a particular increase in female pensioners renting a property with an increase of 12 per cent in 2012 and 43 per cent since 2009.

Scott Fraser of McEwan Fraser Investments says: "A number of years ago it was possible to put in a bid at auction and then swiftly arrange a mortgage, but not anymore. It's no surprise therefore that the older generation are now better placed to bid at auction as they typically have more savings or equity in their own property. We work with a number of older clients who can now enjoy a more secure financial retirement thanks to smart property investment".

Newsletter - if you enjoyed this article, why not get more?

Sign up to Scottish Property Magazine and you’ll be the first to see our latest on-line editions, enter our competitions or be updated on any new information we put out.

We do not rent, share, or exchange our customers’ email addresses. We do use these addresses for our own electronic marketing purposes, but only with your consent. If you choose not to receive email from us please let us know, and we will happily remove your address from our email list.

Scottish Property Magazine

Fresh, tasteful, inspiring and brand new, Scottish Property Magazine offers sixty eight tantalising pages filled with beautiful photographs, inspirational ideas and in-depth articles on the following themes:

  • Lifestyle and Interiors,
  • Feature Properties,
  • Architecture and Self-build,
  • Renovations and Conversions,
  • Property News, Markets trends and Money Matters,
  • Selected properties currently on the market,
  • Holiday Homes,
  • Gardens

For the first four editions we are doing direct targeted distribution. The magazine is sent to 10,000 homeowners across the greater central belt, all of whom are either planning to sell, have just sold or have just bought a property. This strategic distribution will continue next year, however, we will also have it in the shops for sale by next summer. A smaller number also gets distributed to IFA's and brokers across the central belt.