Recent figures from the Equity Release Council show that a total of £3.92 billion of housing equity was withdrawn by older homeowners in 2019.
What is the most popular plan?
The most popular product amongst older homeowners continues to be a drawdown mortgage. 64% of new customers opted for a drawdown product against taking a lump sum product.
Furthermore, while the customer base has grown to new levels, the average amounts withdrawn by homeowners have remained steady as customers are advised to unlock values appropriate for their foreseeable financial needs.
During 2019, average withdrawals from new drawdown lifetime mortgages remained broadly consistent with 2018, with the average customer unlocking £63,963. This is on average, double the annual income of a retired couple. The average new lump sum a customer unlocked was £97,282, about triple the annual income of a retired couple. These figures show a modest increase of 2.4% from 2018’s average withdrawal of housing equity.
How we can help you with releasing housing equity
We are a firm of Independent Financial Advisers (IFA’s). This means that the advice we offer is unbiased. We look at all the financial solutions for you, not just Equity Release from the “whole of market”. This is unlike other firms that might recommend just their own products or offer solutions from a limited panel.
All of our Equity Release Advisers are proud members of the Equity Release Council and work to their high professional standards. Applying for an Equity Release plan is straightforward and your Equity Release adviser will help you throughout the process.
Why not arrange a meeting today to see how we can help you. The initial “getting to know you” meetings are 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 funds released.
Meetings can be arranged at a time or location that is convenient for you. This may be a weekend or early evening appointment if you wish to involve your family. A home visit can be arranged at no extra charge. Alternatively, we can meet at our Kettering office. The parking is free and we have one of those machines that make fancy coffees! The choice is yours.
Also, our Equity Release Advisers live and make use of meeting rooms in-
Finally, if you have any comments or thoughts about this article, “Housing equity withdrawal could be the answer?”, then please let us know.
These products are lifetime mortgages or home reversion plans. Equity released from your home will be secured against it.