Equity release still on the rise
June 2018

Homeowners took out 10% more equity release plans last month compared with April, amounting to nearly 6% more in total cash over the same period, according to figures published this week.

While this resulted in a slight decline in the amount released per household, regional figures differ significantly. The biggest increase was in Yorkshire and Humber where the average per household grew by over a quarter in the month, from £39,688 to £50,575.

Londoners, in contrast, released substantially almost a third less equity from their homes in May, than they did in April.

Steve Wilkie, managing director Responsible Equity Release, which published the figures, said: “The equity release market is proving extremely resilient to economic and housing market conditions. The number of homeowners taking out plans and the total amount of equity released were both up in May.

“Although the average amount of equity released by individuals has fallen slightly, particularly in London, we have seen an increase in the amount of equity in reserve which can be tapped into if and when needed.”