Retired homeowners have total property wealth owned outright of £756.36 billion, new research from independent equity release adviser Key Retirement Solutions shows.

But over-65 homeowners in London and the south east are pulling away from the rest of the country, Key Retirement Solutions’ Pensioner Property Equity Index found.

Across the country, homeowners aged 65-plus lost a total of £368.9 million in the past three months – equivalent to around £80 each – as the housing market stabilised, the index shows.

But the national figure masked major gains in London where the average over-65 homeowner gained £4,326 in the past three months while in the south east they were £1,232 better off.

Over-65 homeowners in London have seen average gains of around £21,000 this year with the south east £3,930 ahead.

All other regions are either slightly down or marginally ahead.

Key Retirement’s figures show 24 per cent of pensioner property equity is owned by over-65s in London and the south east.

In London, over-65s own property without any mortgages worth £132.71 billion while in the south east, pensioners own £124.07 billion of property without mortgages.

Dean Mirfin, group director at Key Retirement Solutions, said: “The housing market has stabilised but there is a real regional divide with big gains in London and the south east.

“The rest of the country has either seen marginal gains or relatively small losses this year.

“But whatever happens in the housing market, over-65s own considerable property wealth which represents a massive investment success as they no longer have mortgages on homes they may have bought more than 25 years ago.”