The Equity Release Market is growing

8th October 2018

It’s good news! 2018 has been a fantastic year so far for the growth of this exciting new area of the Financial Marketplace. More and more people are seeing the wealth in their properties as a way of meeting their growing personal, social and financial needs.

This year I have been helping more and more people to finance different areas of their lives including:

  • Paying off their mortgages
  • Clearing debts
  • Gifting to a family member to help them buy their own home
  • Home improvements
  • Funding a lifetime experience such as a holiday

Growing number of product options

I now have access to nearly DOUBLE the number of product options available to offer to my clients, which means that the ability to access the wealth within your property has now been made even easier. The growing number of plans can offer:

  • Greater flexibility in terms of making payments
  • Inheritance protection
  • Drawdown facilities – ability to take out more equity from the property in the future
  • Lower lifetime fixed interest rates
  • Ability to pay off lump sums on a voluntary basis
  • Ability to be able to transfer the plan to another property
  • Wider property criteria accepted
  • Higher loan to value
  • No negative equity guarantees
  • The ability to retain ownership of your own property

The marketplace has become competitive so providers, such as Legal and General, One Family, Retirement Advantage, More to Life, Pure Retirement and Legal and General have risen to the challenge and introduced new products and increased product flexibility. The plans I offer have increasingly competitive rates of interest whilst still maintaining the same high standards and protections to ensure their products provide good outcomes for customers.

These plans encompass the needs of even more people aged 55+, enabling a growing number of my clients to realise their dreams.

Increased number of people taking out a Lifetime Mortgage

Business here in my office is growing and more and more people are contacting me to help them access the wealth in their properties to meet their different financial needs. Across the whole of the industry, the number of households aged 55+ taking out a Lifetime Mortgage was 38, 912 including a mixture of new plans and returning drawdown customers making withdrawals from their agreed reserve fund. Personally, I have helped nearly 100 clients release over £9, 000, 000 (*) from their properties in the last 12 months through taking out a Lifetime Mortgage, and I have seen many happy customers pay off their debts, make home improvements or help a family member buy their first home. It always makes me so happy to see my customers finally carry out a lifelong dream or a solution to a stressful financial situation.

The Equity Release market is better than it ever has been, and the rates of interest are increasingly competitive with many other loan products available. There has never been a better time to consider equity release as a real option and access the funds that you already have. Your future dreams and financial solutions are already within your reach so please, feel free to give me a call and I will be more than happy to talk you through the options available to you.

*Equity Release is available to people aged over the age of 55 and have a minimum property value of £75, 000. Equity Release may not be vailable to everyone.

Source: All figures taken from the Equity Release Council’s Autumn 2018 Market Report, unless otherwise stated. The Autumn 2018 Market Report uses aggregated data supplied by all active provider members of The Council to create the most comprehensive view of consumer trends and product uptake across the equity release industry.

The latest edition was produced in Autumn 2018 using data from new plans taken out in the first half of 2018, alongside historic data. All figures quoted are aggregated for the whole market and do not represent the business of individual member firms. Annual changes are rounded to the nearest percentage point while customer and lending data is reported to one decimal place.

(*) Figures taken from CRM 24/09/18. Actual number of cases=99, Actual total value of released equity = £9,356,599

Why not get in touch and see how we can help?

Equity release is the answer to so many financial questions. If you would like to know more about it, and see if it could be the right move for you, please book an appointment or request a call-back