New industry analysis from Moneyfacts.co.uk has looked into the various equity release products currently available to borrowers.
According to the financial website, the equity release market remains relatively vibrant despite the pressures of the credit crunch and economic downturn, with "plenty of products" for consumers to choose from.
Moneyfacts.co.uk also explored the various kinds of equity release options on offer from providers.
These include lifetime mortgages, where a pre-set amount of equity is unlocked from a property and used to provide a lump sum payment or regular income to the homeowner.
Drawdown mortgages provide an alternative solution, with homeowners only accessing the equity as and when needed.
"In recent years equity release has become a more acceptable way for elderly homeowners to release cash from their homes, often to provide additional retirement income," Moneyfacts.co.uk added.
Third quarter data from Key Retirement Solutions has shown that 65 per cent of all plans taken out by customers over the three-month period were drawdown.
This is an increase from 64 per cent in the second quarter and 57 per cent in quarter one.
Posted by Tom Papworth
