Recent figures produced by the Equity Release Council shows that consumers are taking advantage of record-low rates.
First of all, consumer demand continued to grow as older homeowners recognised the crucial role that property wealth can play in supporting their retirement alongside pensions, savings and other assets. 2019 saw the total number of customers served reach a record high of 85,497, of which 44,870 took out new plans. Also, this is compared to 46,297 plans in 2018. These plans have been taken out after the detailed process of regulated financial and independent legal advice.
Why are more people releasing cash from their homes?
Increased product features and flexibilities, such as the ability to make voluntary or partial repayments with no early repayment charge, has helped fuel this long-term growth in product uptake. Furthermore, the Equity Release Council’s Autumn 2019 Market Report showed that the average interest rate dropped to a record low of 4.91% in September 2019. The drop in rates is partly the result of increased competition across the whole market.
Above all, the number of returning drawdown customers also increased by 3,676 over the year, up by 11%, while the number of further advances/releases increased by 557 a 15% increase. This suggests that borrowers are unlocking conservative amounts and only returning should they need to access further sums.
How we can help you with Equity Release
We are a firm of Independent Financial Advisers (IFA’s). The mean that the financial advice we offer is unbiased. We look at all the solutions from the “whole of market” for you. This is unlike some adviser who will offer only their products or work from a limited panel.
The initial “getting to know you” meeting is at our expense and without obligation. Only if you choose to proceed and your case completes would a fee of £895.00 be payable. This fee can be paid to us by your solicitor from the fund released.
A meeting can be arranged at a time and location that is best for you. This may be a meeting in the early evening or at the weekend if you want your family to be involved. A home visit can be arranged, or you can come into our office in Kettering. Also, we have a machine that makes all sorts of coffee and the parking outside the office is free! It also allows you to meet the team. Why not arrange a meeting today?
Also, our Equity Release advisers live and make use of meeting rooms in-
- Corby
- Thrapston
- Wellingborough
- Rushden
All our Equity Release advisers are members of the Equity Release Council and work to their high professional standards.
Finally, if you have any views or comments about this article “Strong consumer demand for Equity Release’, then please let us know.
These products are lifetime mortgages or home reversion plans. Equity released from your home will be secured against it.