Equity withdrawal not a debt trap, says CML

Instead, most withdrawal is the result of trading down or last time sales when people exit owner-occupied property or properties are sold on death. The conclusion comes following research into figures obtained from the Survey of English Housing covering the period 1998 – 2003. These figures show two-thirds of equity withdrawal was the result of last time sales and trading down. Some 25% was attributable to remortgaging, with the remaining 13% linked to people moving house borrowing additional money in order to finance the move. Those remortgaging did, however, account for the gr...