Equity Release Lending Increases

The latest figures from The Safe Home Income Plan Group, effectively the Equity Release Trade Body, show that equity release lending is increasing. The total amount borrowed under these planes increased by no less than 19% in the third quarter of 2009 from the year previously. However the total borrowings figure being well up, actually disguises a slight drop of 2.5% in the actual number of plans taken out.  What has put the figures up has been an increase of nearly 4% in the amount borrowed.  On the other hand with some providers coming out of the market the figures do show the resilience of this sector of the mortgage market.   Figures show in the last twelve months the wider mortgage market dropped by 63% whilst Equity Release only shrank by a comparatively modest 22%. Partner Carmen MacIver, head of Caesar and Howie’s dedicated equity release team commented “the end of house price falls I think is going to give this market a further boost.  The products are getting better and better known in Scotland and our enquiry levels just go up and up.  I think the Scottish public did not get to grips with the benefits of Equity Release till after those in the South.  But I think this has changed and with so many people enjoying a better retiral life style because of equity release I can only see Caesar and Howie’s  services as equity release solicitors become more and more in demand”.