Equity Release from Age Partnership

Equity Release Market Benefits From House Price Rise

Janice-Walsh — Fri, 05 Feb 2010 16:31:10 +0000

For the seventh consecutive month the average price of a UK house has increased, which will offer further encouragement to homeowners considering an equity release scheme.

This latest increase is more modest than the previous six months, showing a 0.6% rise in January, according to the Halifax. However, this latest growth, which sees the average UK house valued at £169,777, will allow homeowners to release more from their property with an equity release scheme.

Growth in the Housing and Equity Release Markets

Following this positive news, house prices are now 3.6% higher than they were at the same time last year and an impressive 9.9% up on the April 2009 crash. Yet this modest increase suggests that industry predictions of prices staying flat in 2010 appear to be accurate.

These constant increases could have been a contributing factor in the stabilisation of the equity release market also. In January it emerged that the number of equity release schemes taken out in the fourth quarter of 2009 – a notoriously difficult quarter for the market – were close to breaking even against the year previous.

More people are returning to equity release schemes as confidence grows in the market and values of properties increase.

“These latest figures are good news, more funds could now be available”

Last month Dan Baines, Sales and Marketing Director at Age Partnership, commented that he felt house price rises were only going to benefit customers. He said:

“Many mature homeowners are already sitting on a wealth of home equity that outweighs other provisions that they have made for their retirement. These latest figures are good news, meaning that more funds could now be available.”

Although signs suggest the dramatic rises are easing, continued demand for housing should ensure the market stabilises.

Five Reasons Why Equity Release Is Growing In Popularity

Mark-Blanchfield — Tue, 02 Feb 2010 14:58:01 +0000

The month of January was an encouraging one for the equity release market, concluding with the positive statistics pertaining to the number of equity release schemes released in the final quarter of 2009. We have identified five possible reasons why confidence is returning to the equity release market.

1.) Like the previous six months house price rises ushered in the New Year. The Halifax and Nationwide both reported rises taking the average price of a UK house to £169,042. It also marked the first time that the average price of UK houses was higher than the same time the previous year. The higher value of houses will mean that customers considering an equity release scheme can benefit from a greater percentage.

2.) Following a YouGov report in early January, it emerged that up to one million homes could be relying on credit cards to pay the mortgage. This led to the charity, Shelter, condemning the news and suggest that alternatives like an equity release scheme might be better.

3.) Reduced interest rate lifetime mortgages also caused a surge in interest in January. The first low interest rate lifetime mortgage was offered by Aviva at the start of January. The overall cost for comparison is 7.3% APR.

This was followed by Just Retirement’s equally competitive low interest rate lifetime mortgage in mid January. The overall cost for comparison is 6.8% APR.

4.) Towards the end of January, TrigoldCrystal and Age Partnership announced that the independent equity release specialists would be joining Trigold’s equity release platform. Age Partnership will offer advice to customers referred by Trigold’s brokers meaning that a greater number of people could now benefit from professional and impartial guidance.

5.) The issue of rising debt also led to more people considering equity release. According to the Consumer Credit Counselling Service (CCCS) 5% of over 60’s were experiencing problems with debt, compounded by the affects of the recession. In the difficult economic climate equity release has the potential to unlock a lump sum or regular payments to supplement income.

Don’t forget to check out our monthly equity release video too with up-to-date news and exclusive deals.
By consolidating your existing unsecured debts, you may extend the term and overall cost of these debts.

Confidence in the Equity Release Market Grows

Mark-Blanchfield — Wed, 27 Jan 2010 16:17:57 +0000

Figures released by Safe Homes Income Plans (SHIP) indicate that equity release schemes are growing in popularity as the market stabilises.

The statistics, pertaining to the fourth quarter of 2009 compared to the third, show that there was only a slight decline (1.9%) in the number of plans sold. However, Q4 is notoriously a weaker period due to seasonal factors.

So, despite the slight decline, there is encouragement that in the most difficult period of the year, the number of equity release schemes started to level out. There was also a 4% rise in the average amount advanced for the period.

An Increase in Home Reversion Equity Release Schemes

Home reversion equity release schemes showed the most encouragement as sales grew by 28% quarter on quarter. In a time of unsettled house market prices, only selling a portion of your property has proved popular with homeowners.

Drawdown mortgages increased by 5% to 3,057 in Q4 maintaining their position as the most popular equity release scheme, which now accounts for 54% of the market. Drawdown equity release schemes offer customers flexibility to choose when they want their money and how much.

The Equity Release Solicitor’s Alliance (ERSA) is encouraged by the figures. Claire Barker, chairman of ERSA, said:”Overall, these are remarkably positive results for the industry and indicate that there is still a major appetite from home owners to supplement their retirement income by using the equity in their property.”

“The reputation of the equity release market is steadily improving”

Andrea Rozario, director general of SHIP, said: “The equity release industry, in common with the entire UK financial services industry, has faced a difficult and challenging year. However, there are encouraging signs with both providers and IFAs having recently reported increasing demand from consumers.

“Finally, SHIP has had a number of positive meetings with key stakeholders and can confidently assert that the reputation of the equity release market is steadily improving. We remain positive in the future growth of the equity release market.”

The figures still show that the number of plans released is some way short of 2008 figures but, in what has been a difficult year for the equity release market; this strong finish shows encouragement for 2010.

Rising Debt Makes Equity Release Schemes More Relevant

Mark-Blanchfield — Wed, 27 Jan 2010 09:51:29 +0000

Rising levels of debt is making equity release schemes more relevant as a financial option according to the Consumer Credit Counselling Service (CCCS).

This follows a 5% rise in over 60’s contacting the CCCS since 2004 with debt problems. The CCCS are now encouraging retired homeowners, who are asset rich, to make the most of the value stored up in their property through an equity release scheme.

Recession Leads to More Considering Equity Release Schemes

These higher levels of debt amongst homeowners can in some part be attributed to the impact of the recession which, according to figures released this week, has impacted unemployment at a greater rate than originally forecast. This has left many retirees considering other forms of finance like equity release to support income.

According to The Chartered Institute of Personnel and Development (CIPD) 1.3 million people were made redundant during the recession, which would have constituted 4.4% of the work-force before the downturn. Two-thirds of those who did find a new job took, on average, a 28% pay-cut.

Also, a lot of these would have been forced into retirement because of the 65 years old retirement threshold. In a survey by the Equality and Human Rights Commission, 62% of women and 59% of men wanted to continue working after 65; two-thirds citing financial stability as a reason amongst others.

Relying on Equity Release Schemes

This has led to more homeowners relying on the financial boost that an equity release scheme can provide. An equity release scheme has the potential to unlock a lump sum or regular payments to help support your income.

Clearing debt and paying the mortgage is often a popular reason cited for equity release schemes as it allows you the chance to make the most of your retirement without the continuous worry of repayments mounting.

By consolidating your existing unsecured debts, you may extend the term and overall cost of these debts.

Age Partnership Join TrigoldCrystal’s Equity Release Platform

Janice-Walsh — Tue, 26 Jan 2010 09:59:57 +0000

Age Partnership will now proudly sit on TrigoldCrystal’s equity release platform to offer advice for brokers and customers.

Brokers will now be able to rely on Age Partnership’s equity release experience and customers will be able to benefit from a 48 hour hand-written quote guarantee for any referred cases.

Age Partnership search the whole of the equity release market to find the best plan to suit customer needs and it appears that a greater percentage of Independent Financial Advisors (IFAs) could be about to seek the support of the independent specialists.

A Ground-Breaking New Equity Release Tool

TrigoldCrystal’s system is ‘benefits driven’ so that it focuses more on what people want and need from equity release, not just cost. The system allows intermediaries to source and select equity release products from the market with relevant tools to tailor searches to customers’ needs.

Starting with a client lifestyle questionnaire, the equity release advice system lets advisors develop an understanding of what is available. They can also refer clients to TrigoldCrystal’s panel of brokers which now includes Age Partnership.

David Aylmer, marketing director at TrigoldCrystal said: “We are very pleased to be able [to] offer brokers access to Age Partnership via our Equity Release platform.”

“Clients benefit from expert advice”

More IFAs are relying on equity release specialists like Age Partnership to provide the suitable level of advice and customer service for customers considering a plan.

Tristam Carson, Head of Intermediary Sales, said: “Age Partnership has helped hundreds of Independent Financial Advisors by providing specialist Equity Release advice to their clients. Many IFAs, as non specialists, prefer their clients to benefit from expert advice and trust Age Partnership, one of the UK’s leading specialists to provide a level of service that they will personally recommend to customers.”

Brokers referring cases will receive 25% of any commission received by Age Partnership, but rest assured this will not affect the amount of money that you will be charged.

Why choose Age Partnership for equity release?

Lifetime Mortgage Interest Rate Drop

Janice-Walsh — Tue, 19 Jan 2010 16:02:33 +0000

Just Retirement has reduced the interest rate on their lifetime mortgage, which could save you thousands of pounds. Age Partnership customers can make the most of this preferential plan, which could also give you a £450 cash bonus when making the most of this lifetime mortgage.

Homeowners considering an equity release scheme like a lifetime mortgage will be buoyed by this preferential offer especially as house prices continue to rise.

A Lifetime Mortgage with a Low Fixed Interest Rate for Life

This lifetime mortgage from Just Retirement offers customers a low interest rate; the overall cost for comparison is 6.8% APR. The low interest rate is also fixed for life so you can plan without the worry of fluctuating interest rates.

You can also choose whether to release the equity from this lifetime mortgage in a lump sum or through regular payments as and when you need them.

Additionally, with this lifetime mortgage plan you could be entitled to £450 cash on completion.

Get Free, Impartial Advice About This Lifetime Mortgage Plan

If you are considering a lifetime mortgage then why not contact Age Partnership for free, impartial advice. We provide thorough, specialist advice and search the whole equity release market on your behalf to find the best plan for you.

Equity Release Schemes Could Help Homeowners Pay the Mortgage

Janice-Walsh — Wed, 13 Jan 2010 16:20:42 +0000

An equity release scheme could help homeowners relying on credit cards to pay the mortgage, ease the burden of debt. This is in light of a survey produced by UK housing charity, Shelter, which showed that up to one million households had borrowed money on a credit card to pay the mortgage or rent.

The survey was conducted by YouGov and questioned 2,022 people, 6% of whom admitted using a credit card to make mortgage repayments or pay the rent in the last 12 months. This percentage suggests that up to one million homes in the UK are using this method of payment.

Equity Release Schemes Can Ease the Burden of Debt

It has led Shelter to issue a warning that these homes face problems if their debt is mounting. They have urged people to seek advice urgently.

Kay Boycott, Shelter’s director of policy and campaigns said: ‘This is a shocking discovery, that over a million households in Britain are in such desperate circumstances that they need to borrow money on credit cards to pay for basic housing costs.”

The survey showed that the working class were the most likely to rely on credit cards to pay the mortgage or rent (8% answered yes to the question) but the middle to upper classes weren’t exempt, 4% of those questioned admitted to using a credit card to pay the rent or mortgage in the last 12 months.

Unlock Some of the Value in Your Home with an Equity Release Scheme

For homeowners an equity release scheme could help pay off some debt as well as the mortgage, leaving you free from the burden of having to make regular monthly repayments.

An equity release scheme has the potential to unlock a tax-free lump sum or regular payments from the value of your home. Paying the mortgage is one of the most common reasons cited by customers who take out an equity release scheme.

By consolidating your existing unsecured debts, you may extend the term and overall cost of these debts.

Planning for the Future the Theme of Equity Release in December

Mark-Blanchfield — Tue, 12 Jan 2010 17:09:13 +0000

In the grips of a bitterly cold December the mood of the equity release market in the final month of 2009 was one of future-planning with a focus on 2010.

Another house price rise, the seventh consecutive, meant that December got off to a positive start for equity release customers. The 0.5% rise compared against October suggested the speed with which house prices were increasing was slowing down. However, it put the average value of a UK house at £162,764 and meant customers considering equity release could benefit from being able to release more value.

The air of optimism in the equity release market continued when it emerged that over a third of lifetime mortgages were used for holidays and leisure. The information was provided by Saga Personal Finance who reported that 34% of equity release schemes were used for a holiday or leisure pursuits. It was timely news as the cold began to creep in and we all started to dream of far off climes bathed in sunshine!

The mood of looking towards the future in the equity release market intensified when AIFA (the Association of Independent Financial Advisors) urged the Government to re-examine obstacles to equity release. These calls by AIFA to make equity release more appealing were made ahead of the pre-Budget report.

When the pre-Budget report was released in early December, funding for retirement was a key issue which prompted a better awareness of equity release.

With planning for the future and funding retirement the hot topics in the equity release market, the ERSA (Equity Release Solicitors Alliance) chose the perfect time to reveal that 40% of equity release customers took six months or more doing their research before taking out a plan.

As we approached Christmas the exclusive equity release offers began to materialise with Prudential’s lifetime mortgage offer the pick of the bunch.

This prompted us to put together an informative guide answering some of the common questions asked by equity release customers.

So 2009 ended with renewed optimism in the equity release market, largely inspired by the consecutive house price rises seen in the second half of the year. With reports predicting the UK to move out of recession in 2010, many homeowners may well be able to make the most of an equity release scheme, especially after spending so much time researching it.

Don’t forget to check out our monthly equity release video too with up-to-date news and exclusive deals.

House Price Rises Make Equity Release More Attractive

Mark-Blanchfield — Thu, 07 Jan 2010 15:19:45 +0000

House prices in the UK are officially up on the previous year, which is welcome news for homeowners considering an equity release scheme.

According to the Halifax, their figures showed that a 1.0% house price rise during December contributed to a 1.1% increase compared against December 2008. This made the average price of a UK house to £169,042.

Making the Most of Equity Release

The continued rise in house prices bucks the trend of the rest of the economy that – although showing signs of recovery – has struggled throughout 2009. Yet it is encouraging news for people considering an equity release scheme as they have the potential to unlock more value from their property.

Equity release has the potential to unlock a tax-free lump sum or regular payments from the value of your home to supplement income in retirement.

In December we spoke about how customers are taking longer to research equity release, with over 40% taking more than six months before making a decision.

Time to Capitalise on Equity Release

Those who have been waiting can now capitalise on this, the sixth consecutive monthly rise. These figures from the Halifax follow a reported 5.9% rise in house value in 2009 from the Nationwide. The figures also indicated that the average house is now worth £14,500 more than in April 2009.

Dan Baines, Sales and Marketing Director at Age Partnership, feels that this news is good news for homeowners, stating:

Enjoy Financial Freedom in 2010 with a Lifetime Mortgage

Janice-Walsh — Tue, 05 Jan 2010 14:49:46 +0000

During the second half of 2009 house prices increased steadily but consecutively meaning you could now release more equity from a lifetime mortgage. To make the most of this, Age Partnership has teamed up with Aviva to offer customers the chance to start 2010 with financial freedom through a generous lifetime mortgage.

Aviva are offering Age Partnership customers the chance to release a higher amount of their property’s value with their preferential lifetime mortgage offer; a higher amount than any other UK lifetime mortgage.

A Lifetime Mortgage with a Low Interest Rate and Nothing to Pay on Application!

As well as enjoying the option of releasing a higher value of your property, this preferential lifetime mortgage from Aviva also comes with a low interest rate. The overall cost for comparison is 7.3% APR.

Furthermore, there is nothing to pay on application for property valuations on houses worth up to £250,000.
With house prices increasing month-on-month a lifetime mortgage can help you raise funds for that magical holiday you have always dreamed of or for home improvements. You continue to own 100% of your home and you can release a lump sum or regular payments.

Compare Plans from the Whole Market

In order to find you the best possible lifetime mortgage, Age Partnership search the whole of the equity release market to find a plan that suits your circumstances. We also offer impartial advice and talk to you about how a lifetime mortgage can affect benefits and the inheritance you leave behind.

To make the most of Aviva’s preferential lifetime mortgage offer with a low interest rate and nothing to pay on application make the most of a free, no-obligation recommendation today.