Equity Release Market Ends 2024 on a High – A Growing Solution for helping with wealth managment.

Equity Release Market Ends 2024 on a High – A Growing Solution for Wealth Management.

As we step into 2025, the Equity Release Council’s latest market report for Q4 2024 highlights a resurgence in the equity release market, demonstrating how more homeowners are unlocking wealth in their properties to boost retirement income and aid inheritance planning.

Market Growth & Rising Consumer Confidence
The final quarter of 2024 saw over 15,000 active customers, the highest number in over a year. Total lending also grew for the third consecutive quarter, reaching £622 million—a 16% increase compared to Q4 2023. This growth signals rising confidence in equity release as a financial planning tool.

Key Statistics from Q4 2024:

Total lending: £622m (+16% YoY, +1% QoQ)
Total customers: 15,073 (+10% YoY, +6% QoQ)
Returning drawdown customers: 8,301 (+13% YoY, +6% QoQ)
Further advance customers: 1,411 (+35% YoY, +27% QoQ)
These figures show a strong upward trend in homeowners leveraging equity release to access tax-free funds without having to sell their homes.

Equity Release as a Tool for Inheritance Planning
One of the most significant takeaways from the report is the increasing use of equity release in inheritance planning. Homeowners are strategically unlocking funds to gift to their families while still alive, helping the next generation tackle financial challenges like buying a first home or funding education.

With house prices remaining high and younger generations facing financial difficulties, many retirees are choosing to release equity to pass on wealth early, reducing potential inheritance tax liabilities.

Average Loan Sizes on the Rise
The report also highlights a steady increase in average loan sizes, reflecting greater confidence among homeowners in utilizing equity release responsibly.

Lump sum lifetime mortgage: £115,243 (+14% YoY, +3% QoQ)
Initial drawdown amount: £70,926 (+14% YoY, +1% QoQ)
Drawdown reserve: £56,565 (+38% YoY, +14% QoQ)
Product Availability & Interest Rates
The number of available equity release products has steadily increased, with 114 new products introduced in October 2024 alone. Meanwhile, interest rates have eased slightly, making equity release a more attractive option.

Why is this important? With more homeowners opting for drawdown facilities (56% of new plans in Q4), they can access funds when needed while minimising interest accrual. This flexibility is a key advantage in long-term financial planning.

Why Equity Release is More Attractive Than Ever
The Equity Release Council ensures strict safeguards, including the no negative equity guarantee and the ability to make voluntary repayments to manage borrowing. With these protections in place, equity release has become a trusted and flexible solution for later-life financial planning.

MY LATER LIFE – Your Trusted Equity Release Partner
At MY LATER LIFE, an award-winning, Equity Release Council-accredited broker, we specialise in helping homeowners unlock the financial potential of their properties. Whether you're looking to enhance your retirement lifestyle or support loved ones through early inheritance planning, we’re here to guide you every step of the way.

Get in Touch Today to explore your equity release options and discover how you can make the most of your home’s value while securing a financial legacy for your family.

For more details, read the full report from the Equity Release Council link