Compliancy Services has revealed that it is in talks with equity release providers who are investigating the potential of the sale-and-rent-back (SRB) market.
The compliance service, which has a specialist SRB arm, has noted an increasing number of enquiries from equity release providers into the SRB market as the equity release market contracts.
The equity release market has fallen 14% in overall value, from £1.09bn in 2008 to £946m in 2009, according to the latest figures from Safe Home Income Plans (SHIP). Members of SHIP also saw the number of plans sold fall by 27% in 2009.
Claire Wilkinson, retail director at Compliancy Services, said: “Whilst it remains a different market, sale and rent back is not a million miles away from equity release and the cross-over for providers would be a relatively simple one in terms of regulatory permissions.”
