more2life comment on Equity Release Council Q3 data

23 October 2024

Regarding the latest quarterly index from the Equity Release Council, please find below some reactive comment from Ben Waugh, MD of more2life

“It’s really positive to see the second straight quarter of growth for both the total plans agreed and the total lending in the report for Q3 2024 from the Equity Release Council. The sector has been through a challenging time, so it’s encouraging to see these products once again playing a fuller role for later life borrowers.

“One of the key drivers in this increased activity in my opinion is the level of product innovation. There is much more creativity in the product design from providers, incorporating features like offering a reduced interest rate in exchange for committing to making payments for a fixed term. There is a greater variety in the early repayment charges too, making the transition from mainstream mortgages to specialist later life products more attractive.

“However, there remains huge untapped potential. The number of borrowers for whom these products are a useful option is only going to grow, so it’s crucial that greater numbers of mainstream mortgage brokers add later life products to their service range. Clients enjoy access to products that meet their needs, while advisers not only meet their Consumer Duty requirements but are also properly remunerated for their work. Ultimately everyone benefits.”