{"id":22511,"date":"2024-02-20T13:45:45","date_gmt":"2024-02-20T13:45:45","guid":{"rendered":"https:\/\/new.contentdeployment.co.uk\/tomd\/?p=22511"},"modified":"2024-02-20T13:46:20","modified_gmt":"2024-02-20T13:46:20","slug":"equity-release-on-the-rebound","status":"publish","type":"post","link":"https:\/\/new.contentdeployment.co.uk\/tomd\/2024\/02\/20\/equity-release-on-the-rebound\/","title":{"rendered":"Equity release \u2013 on the rebound?"},"content":{"rendered":"
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After a challenging few years, equity release is picking up steam again, with the market experiencing growth for the first time in a year, according to market statistics<\/strong>1<\/sup><\/strong>.<\/strong> <\/p>\n<\/div>\n\n

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New customers (10%) and total lending (8%) both saw a quarterly rise in Q3 2023. During that period, 17,078 new and existing customers used equity release products. <\/p>\n<\/div>\n\n

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In total, \u00a3716m of wealth was withdrawn in the three months to September 2023, a rise from \u00a3663m in the previous quarter. The average initial drawdown was \u00a363,238, while the average lump sum stood at \u00a394,806. <\/p>\n<\/div>\n\n

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Generational support<\/strong> <\/p>\n<\/div>\n\n

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Lifetime mortgages are one way of benefiting from some of your property\u2019s value without having to sell your house. The money generated could be used towards a specific project like a home renovation, for example. <\/p>\n<\/div>\n\n

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In recent years, a growing number of people have been using the money to support relatives. A study2<\/sup> found that almost one in five parents and grandparents who helped their family members onto the property ladder used their own property wealth to do so (via equity release, downsizing or re-mortgaging). <\/p>\n<\/div>\n\n

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Back to 2017 levels<\/strong> <\/p>\n<\/div>\n\n

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Despite rising on the quarter, the number of active customers is still down 33% year-on-year. Moreover, new customers were down 45% on an annual basis, with total lending also down 58%, leaving the market stuck at 2017 levels. <\/p>\n<\/div>\n\n

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\u201cThese figures suggest the process of building back is slowly underway in the equity release market,\u201d<\/em> said David Burrowes, Chair of the Equity Release Council. He continued, \u201cWith customers starting to venture back, the market is at the start of a gradual but fragile road to recovery.\u201d<\/em> <\/p>\n<\/div>\n\n

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1<\/sup>Equity Release Council, 2023 <\/p>\n<\/div>\n\n

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2<\/sup>L&G, 2023 <\/p>\n<\/div>\n\n

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As a mortgage is secured against your home or property, it could be repossessed if you do not keep up mortgage repayments. Think carefully before securing other debts against your home. Equity released from your home will be secured against it.<\/strong> <\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

After a challenging few years, equity release is picking up steam again, with the market experiencing growth for the first time in a year, according to market statistics1.  New customers (10%) and total lending (8%) both saw a quarterly rise in Q3 2023. During that period, 17,078 new and existing customers used equity release products.  […]<\/p>\n","protected":false},"author":4,"featured_media":22512,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[32,91],"tags":[],"hd_content_source":[],"_links":{"self":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/22511"}],"collection":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/comments?post=22511"}],"version-history":[{"count":4,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/22511\/revisions"}],"predecessor-version":[{"id":22516,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/22511\/revisions\/22516"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media\/22512"}],"wp:attachment":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media?parent=22511"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/categories?post=22511"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/tags?post=22511"},{"taxonomy":"hd_content_source","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/hd_content_source?post=22511"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}