Equity release from high value property is a ‘lifestyle’ choice

Industry figures have reported an increasing number of equity release transactions taking place on higher value properties, reports Mortgage Solutions (20/11/06).

Michael Philps of Hinton & Wild said it had seen a definite increase in higher value properties being used for equity release. “It is not £200,000 or £250,000 anymore. It is real lifestyle type customers rather than desperation sales these days. They do not have to take out equity release but, for whatever reason, they choose to.”

Customers are becoming more aware of the inheritance tax burden while others simply wanted to provide their beneficiaries with money while they were still alive.