The Equity Release Council (ERC)1 has reported continued growth in the equity release market, with two consecutive quarters of increased activity through to September 2024. During Q3 alone, homeowners over the age of 50 unlocked a total of £615m in property wealth, reflecting a 6% rise compared to the previous quarter.
The average loan size for new lump-sum lifetime mortgage clients also saw a slight uptick, reaching £111,618. This increase indicates growing confidence among homeowners in leveraging their property assets for financial flexibility.
David Burrowes, Chair of the ERC, remarked, ‘Returning growth may have been modest to date, but it’s particularly encouraging to see the trend continue’.
Equity release offers a financial solution for older homeowners looking to enhance their retirement income, fund major expenses, or support family members. With market growth persisting, equity release is becoming an increasingly popular tool to unlock property value. There are many factors to consider, it’s not appropriate for everyone and depends on individual circumstances.
Equity Release and Lifetime Mortgages will reduce the value of your estate and can affect your eligibility for means tested benefits.
1ERC, 2024
It is important to take professional advice before making any decision relating to your personal finances. Information within this article is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored investment advice and is for guidance only. Some rules may vary in different parts of the UK.