Equity release

I have rarely seen a subject matter that polarises the adviser community so much as equity release. Love or hate, black or white - there is little sitting on the fence or shades of grey.

Safe Home Income Plans (Ship) has reported steady growth in the equity release market with the total value of new business written standing at £279m for the first quarter of 2006, an 11% increase on the same period last year.

Consumers are losing out because of a shortage of specialist IFAs advising on equity release Safe Homes Income Plans (Ship) claims.

Equity release consumers have benefited from low interest rates and increased competition between providers in 2005 but this is expected to be even better in 2006, according to a new survey.

More than half of UK consumers believe equity release is risky due to serious misconceptions they hold about these products, new research reveals.

Retirement planning

Pensioners are choosing to release equity from their homes to maintain their lifestyles after retirement as fewer people need the funds to boost their income, says research from Key Retirement Solutions.

Safe Home Income Plans (SHIP), has reported solid business figures for the three months to 31 March 2005.

SHIP - the self regulating body which represents 90% of the equity release market - says it is also introducing tougher new rules later this year on lifetime mortgage and home reversion schemes.

post-retirement focus