Equity release: still much to be done

Published on

LV=

88% of advisers surveyed by LV= believe the equity locked up in a property should be a key consideration when planning for retirement.

95% consider equity release to be a significant future growth area for their business, and 78% of advisers expect equity release to become a mainstream financial product in the next few years. The main reason cited as the driver behind continued growth of the equity release market was clients’ needing to supplement their retirement income (60%).

18% think that the rise in clients who need to pay off their mortgage and other debts will increase demand for equity release in the coming years.

Clients’ concerns about leaving an inheritance for their children are two of the biggest barriers advisers face when discussing equity release with clients. However, 30% of advisers admit that it is their own lack of understanding about the equity release market which has stopped them from writing equity release business.

Steve Lewis, LV= head of retirement distribution, said: “For many people, their property is their greatest asset so it is encouraging that advisers believe that the capital tied up in someone’s home should form part of initial retirement planning discussions.

“In recent months we have seen several high profile discussions, by the House of Lords for instance, highlight the pivotal role housing equity can play in helping to face the challenges of supporting our ageing population. However, it is clear from adviser feedback that there is still much to be done to combat the industry misconceptions that exist amongst advisers and clients.

“At LV= we are committed to supporting advisers wishing to promote the benefits of equity release to their clients. To this end, throughout May, we will be holding a series of face-to-face workshops focused on marketing and business development and the pitfalls to avoid when marketing equity release services.”

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

BetterHome Group UK appoints Anthony Glasgow as chief operating officer

BetterHome Group UK has appointed former Connells Group executive Anthony Glasgow as chief operating...

Sub-5% mortgage fixes virtually wiped out as rates surge

The number of sub-5% fixed mortgage deals has collapsed by 99% since the beginning...

The Leeds highlights £165k mortgage borrowing potential for buyers earning £30k

Leeds Building Society is urging brokers to consider the mortgage options available to lower-paid...

Disabled mortgage applicants face inconsistent treatment of benefit income

Disabled consumers continue to face uneven treatment across financial services, with new research highlighting...

Access FS adds Iress sourcing data to Elev8 adviser platform

Access FS has integrated Iress mortgage and protection sourcing data into Elev8, the CRM...

Latest publication

Other news

BetterHome Group UK appoints Anthony Glasgow as chief operating officer

BetterHome Group UK has appointed former Connells Group executive Anthony Glasgow as chief operating...

Sub-5% mortgage fixes virtually wiped out as rates surge

The number of sub-5% fixed mortgage deals has collapsed by 99% since the beginning...

The Leeds highlights £165k mortgage borrowing potential for buyers earning £30k

Leeds Building Society is urging brokers to consider the mortgage options available to lower-paid...