Equity release to become more popular, expert says
Posted on 20 September 2011
Older people looking for ways to pay for care may increasingly be considering equity release, as the cost of living rises even further.
Andrea Rozario, director-general at Ship, said that the rising cost of living is "one of the massive drivers for equity release".
He explained that peoples' pension pots could have been "severely hit" during the credit crunch, and increasing life expectancy means they may have to stretch this money over a longer period of time.
"Clearly equity release as their biggest asset is something they are going to be turning to more and more [and] we're likely to see that even more in the future," said Mr Rozario.
This follows an analysis by MGM Advantage, which found that the average individual will need to spend an extra £636.70 to maintain the same standards of living as last year.
Ashall Glover Financial Services advising on equity release schemes
Posted by Patrick Ashall