This first part of the discussion, which focused on opportunities, challenges and greater education in the later life lending sector can be watched here.
In this second part of the video panel debate, which focused on both funding for later life mortgages and how borrowers could help the younger generation of first-time buyers get on the housing ladder, Greg Cunnington, chief operating officer of LDN Finance, said: “We need more joined-up thinking on social mobility for first-time buyers. The unencumbered housing stock owned by the over-55s in the UK is vast [in value]. If your children can’t get a deposit, isn’t one solution to take money [out of the home] and pass it down.”
Fellow panelist Richard Merrett, director strategic relationships at SimplyBiz Mortgages, agreed, noting that borrowers needed the correct advice.
He said: “While there are challenges in the market, there are a lot of people with a lot of equity, and we need appropriate advisors to educate customers about all their options…[they should be looking] to ‘spend their house’, not their wealth to help first-time buyers.
Darren Deacon, head of intermediary sales at Family Building Society noted the ‘attitude shift’ for borrowers.
He said: “At Family Building Society, we pride ourselves on intergenerational lending. And there is an attitude shift where borrowers are not walking away when they pay off their mortgages. They are thinking about how they can use their asset to help their children and grandchildren.”
