Quality of advice is key for equity release customers

Specialist knowledge and independence rank higher than value, KRS research shows

Independent advice and specialist market knowledge are the biggest drivers for customers’ choice of equity release adviser, new analysis* from Key Retirement Solutions shows.

Its analysis among more than 2,000 equity release customers found independent advice and specialist knowledge of the market were the main reasons why homeowners selected a particular company.

Three times as many ranked independent advice and specialist knowledge as reasons for choosing their adviser as those who selected the best return on their house.

Key Retirement Solutions’ analysis shows 47% selected “independent advice” and “specialists in equity release” compared with just 15% who selected “best return on the value of my home” when asked why they chose their adviser.

“Widest choice of plans” was selected by 24% while “company’s reputation” was picked by 25%, the study among customers in 2011 showed.

MAIN REASON FOR CHOOSING ADVISER

% OF CUSTOMERS SELECTING

Independent advice

47%

Specialists in equity release

47%

Company’s’ reputation

25%

Widest choice of plans

25%

Best return on value of my home

15%

Other

13%

Dean Mirfin, Group Director at Key Retirement Solutions (www.keyrs.co.uk), said: “Growth in the equity release market is being driven by independent specialist advice as increased innovation such as the use of drawdown means it is crucial that all customers are helped through the process.

“Customers are clearly concerned about maximising the return on their home but place a higher value on advice and the reassurance that their adviser is a specialist.”

Key Retirement’s Market Monitor shows total funds released in 2011 rose 5.4% to £959.6 million – the first rise in four years – while plan sales continued the growth seen in 2010 with a 1.6% rise to 22,366 in 2011

Once untapped drawdown funds – which have yet to be released – are added in total lending rose to more than £1.3 billion underlining how innovation through increasing use of drawdown has transformed equity release.

Anyone looking to release equity from their home can request an independent guide to equity release by calling 0800 531 6010 or by visiting www.keyrs.co.uk/free-guide

For further information, please contact:

Key Retirement Solutions

Dean Mirfin

Citigate Dewe Rogerson

Kevan Reilly

NOTES TO EDITORS

About Key Retirement Solutions

Founded in 1998 Key Retirement Solutions is the leading over 55’s specialist adviser. Key Retirement Solutions is a limited company registered in England No 2457440 with its Head Office at Key Retirement Solutions, . Key Retirement Solutions is authorised and regulated by the Financial Conduct Authority.