Brits withdraw billions via later life mortgages

UK homeowners have already released equity to the tune of £1.4bn so far this year. During the first three months of this year, over 12,500 homeowners opted to utilise the pent up value accumulated within their property via later life mortgages – a 21.4% annual increase, according to research by mortgage broker Henry Dannell. The firm estimates that this figure could hit over 50,000 by the end of the year, a 19.6 % uplift on 2021. With the total value of equity released in 2021 topping £4.4bn, the broker estimates that almost £5.6bn could be released by the end of this year. The South East and the South West account for the largest proportion of total later life mortgage plans so far this year and, along with London, also account for the highest value of equity released in 2022. The current value of a property utilising equity release through later life mortgages also comes in 34% above the wider UK market average.

City A.M.