Equity release has become an increasingly popular option for many people, with a record number of products now available on the market.
With over 500 equity release options available to consumers1, rates have also dropped by an average of 2% in the past five years. The maximum loan to value (LTV) has held steady over this period at 49%.
Equity release stood up to the challenges of the pandemic, with customers taking out 19% more lifetime mortgages in H2 2020 than in the first half of the year2. Equity release is clearly still a sought-after option of accessing funding in later life.
Did you know…?
More and more people are using equity release, and yet consumers still lack basic knowledge – for example, that they can switch to a cheaper rate and potentially save thousands of pounds. The FCA does not require equity release providers to stay in touch with clients after they’ve taken out a loan, or to inform them of any opportunities to switch.
The potential savings are not insignificant, with one equity release broker saying it has saved remortgagers an average of £33,795 over a period of 10 years3.
Could you save too?
If you are an equity release customer and would like to know if switching might benefit you, then we can help. Talk to us and we can assess whether it is an option for you.
2Equity Release Council, 2021
Equity release may require a lifetime mortgage or a home reversion plan. To understand the features and risks, ask for a personalised illustration.