If Carlsberg did retirement…
There has been much talk about the growing importance of equity release to help fund a person’s basic retirement. However latest figures suggests many retirees are using the money released from their homes on holidays and home improvements.
According to figures 35 per cent of homeowners who released equity in the first three months of the year used the some or all of the money to go on holiday while 67 per cent had work done on their home and garden, an increase of 5 and 9 per cent respectively on the same period last year.
The average amount released also grew by £4,520 as homeowners cash in on increasing house prices. In total £339.80million worth of equity was released in the first quarter of 2014 up from 29 per cent on the first three months of 2013.
Richard Espley, Head of Equity Release at Goldsmith Williams, comments:
“There’s been a lot of doom and gloom surrounding pensions of late with many retirees having to scrape by on the bare essentials. However, as confidence in the economy grows, it’s nice to see a good chunk of retirees are using equity release to have a more comfortable retirement.”
The South West recorded the largest growth in total value released (50 per cent) while London, East Anglia and the South East all saw increases of 41, 40 and 37 per cent respectively.
Content correct at time of publication