2021 has seen a huge surge in over 50s customers seeking equity release to undertake home improvements, increasing by 134% compared to the same period last year, according to data from Legal & General Financial Advice.
The business compared the first five months of 2021 to the same period last year, with the data showing a huge rise in the number of customers looking to unlock wealth from their home to make renovations. This initially shot up in August last year and has been one of the main reasons for customers looking to take out a lifetime mortgage since.
Recent research commissioned by the Good Home Inquiry found that the majority (63%) of people approaching later life in England see home renovations as a priority in the next two years. However, half (50%) of those aged 50-70 said the main reason they would not be able to carry out all the renovations they want is because they cannot afford it.
The data also shows a 96% rise in the number of enquiries about gifting money to loved ones in the first five months of this year, compared to 2020. Research from Legal & General last year found 5.5 million parents expected to offer additional financial support to younger family members due to Covid-19, providing loved ones with an extra £1.9 billion.