You are here: Home - News -

Equity release lender prepares market entry

by: Carmen Reichman
  • 30/03/2017
  • 0
Equity release lender prepares market entry
Equity release lender Responsible Lending plans to enter the market later this year after gaining regulatory approval at the end of February.

The Plymouth-based lender will offer a range of lifetime mortgages aimed at homeowners aged 55+. It will target traditional equity release customers, mortgage prisoners and defined contribution pensioners.

It is headed by former director of lifetime mortgages at Just Retirement and managing director of Prudential’s lifetime mortgage division, Keith Haggart, who joined the firm in July last year. At Prudential, Haggart launched the first drawdown lifetime mortgage in the UK in 2005.

“Responsible Lending was founded because we identified a space in the equity market for an innovative lender that focuses on the issues faced by those aged 55 and over,” he said.

“Equity release is a rapidly growing market. In the last couple of years it has doubled in size and we believe it will continue to grow substantially to reach £5bn by the end of 2020. We want to be part of that, it’s an exciting opportunity,” he added.

The firm said it wants to make it easier for clients to manage the property equity over their lifetime to increase the amount of equity they can access. The products will be distributed through equity release qualified financial advisers and mortgage brokers.

Haggart said: “The mortgage market has some fundamental flaws when viewing customers in retirement, which we are seeking to address with our products. We have looked at the wider regulation and economic landscape and designed a range of products that hand the power over the wealth in their property back to our customers.”

Responsible Lending is the sister company of retirement specialist Responsible Life.

There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
barnethouse
Developer slammed for ‘rabbit hutch’ flat plans

A developer has been criticised for its “disgraceful” plans to turn a former council office into tiny flats.

Close