The firm said that brokers must be aware that many potential customers could use equity release to ‘trade up’ and move into a bigger property, as well as the traditional retirement option of downsizing.
Bridgewater said that many over-55s are now using equity release to upgrade to a bigger or more expensive property.
Chris Prior, head of sales and distribution at Bridgewater Equity Release, said the traditional idea of older people moving to a smaller property no longer rang true in the current market.
“Downsizing has long been suggested as one of the more sensible options for those in, or reaching, retirement and this can be the case for many, however this is simply not feasible for some.
“Individuals often enter retirement with a clear idea of what they want to achieve, including moving closer to children and grandchildren or seeking larger properties in order to be able to entertain larger families.”
Prior added that advisers needed to create equity release plans that can meet clients’ needs.
“However, for a variety of reasons, they may not have the available cash in order to be able to achieve this goal. We want to outline to specialist equity release advisers and, in particular their professional introducer contacts, that this does not mean the ‘up-lift’ option is off the table.
“Indeed, if they work with a knowledgeable specialist adviser and the right provider they can ensure the client gets exactly what they want.”
