New data from specialist lender Pure Retirement suggests a notable shift in the profile of lifetime mortgage borrowers, with the proportion of new business from owners of high-value homes nearly doubling in the first quarter of 2025.

The lender’s analysis reveals that 9% of its new lifetime mortgage business in Q1 came from properties valued above £850,000, up from just 5% in the final quarter of 2024.

The figures point to growing interest in equity release among wealthier homeowners, marking a sharp quarterly increase in activity at the top end of the housing market.

Despite the uptick at the premium end, the bulk of Pure Retirement’s business continues to come from borrowers with homes valued under £400,000. This segment accounted for 64% of total new business in Q1 – a slight dip from 65% in the previous quarter and a 3% decline year-on-year.

Within this segment, properties valued between £250,000 and £399,000 remain the most common, comprising 34% of all new lifetime mortgage transactions over the three-month period.

The average property value among new customers now stands at £405,310, reflecting a modest 0.5% rise compared to the same period last year.

Paul Carter, Pure Retirement chief executive, said: “The fact that the highest proportion of business, and the highest levels of growth, are coming from the extremes of the property value spectrum continue to demonstrate how lifetime mortgages cater to a wide variety of demographics.

“Additionally, it highlights how ongoing product innovation such as interest servicing continues to provide greater choice for consumers exploring later life lending, and is providing effective solutions that cross demographic boundaries.”