Analysis by Key Partnerships has revealed there are currently 66 different equity release mortgages or variations of these on the market. Some 12 different early repayment charge structures are available for customers repaying loans early, or moving house.

Charges can range from as much as 25% of the original loan for the life of the mortgage, to fees for fixed periods, on sliding scales. In some cases providers are not any charging fees.

Key Partnerships’ analysis identified that rates for some products have fallen as low as 2.96%. New plans available include improved loan-to-value offers for customers with lifestyle or health conditions, as well as plans enabling customers to pay interest on loans regularly, or on an ad hoc basis.

Will Hale, director at Key Partnerships (pictured) said: “Increasing competition and choice in the equity release market is a welcome development as continuing demand demonstrates how important property wealth is to meeting customers’ retirement needs.”

He added: “The launch of new lenders such as OneFamily and Legal & General expands the choice on offer and increases the need for specialist advice to ensure clients achieve the best possible outcomes.”

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