The lenders raised maximum LTVs to 55% with the gap between a typical equity release plan at age 60 and enhanced equity release now 9%, with customers who qualify for enhanced deals able to withdraw a maximum 29%.
The increase in LTVs is across all age ranges starting from 24% at age 55 and rising to 55% at age 86.
More 2 Life, which secured a 6% market share in Q1 2011, estimates around 25% of equity release customers would qualify for enhanced terms.
Jon King, managing director of More 2 Life, said: “Enhanced equity release is showing strong demand and we are committed to maintaining our role having created the market with our launch last year.
“Our online systems enable us to give brokers a quick decision on whether customers qualify for enhanced terms and that in turn enables us to regularly review our product range and improve terms where possible.”
Simon Chalk, managing director and equity release planner at Later Living, added: “It’s great to see More 2 Life offering maximum LTVs up to 55% because it is the only product in the market that offers enhanced terms.
“Hopefully, this will create that much-needed competition in the market among other providers.”
