2022-02-08-莱坊-Later_Life_Finance_Report_Q4_2021_4页_112kb

报告摘要

2021 was a record year for the equity release market due to double-digit house price growth (9.8% year-on-year up to November) and increased adoption by wealthy homeowners.
Total withdrawals reached £4.8 billion, surpassing the previous record of £3.94 billion set in 2018, driven by higher property values and a surge in customer numbers (76,154 plans, a 4% increase from the previous year).
The average lifetime mortgage size was £552,575, significantly higher than the industry average of around £4.2%, enabling competitive interest rates (e.g., 3.17% from Knight Frank Finance).
Factors influencing the market include rising G7 economic growth forecasts (4.9% in 2022) and higher long-term gilt yields, which indirectly affect interest rates.

Technology adoption by older adults (e.g., using Zoom for communication) facilitated flexible wealth management, easing affairs like property financing.
Demographic shifts saw an average increase in age at last-surviving parent's death, from 58 for 1960s-born to 64 for 1980s-born, prompting more uses of equity release for lifestyle changes, gifts, or investments.
Challenges include potential pension shortfalls, with about 90% of Defined Contribution pensioners at risk of insufficient retirement income, and rising prices acting as headwinds.

Equity release serves as a tool for unlocking capital for major life events, such as purchasing high-value properties or managing separation, reducing IHT liabilities.
Knight Frank Finance highlights expertise in later-life finance, offering tailored advice and handling complex cases, including high-net-worth transactions exceeding £1 million.

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