Will house price inflation increase use of equity release?

 

UK house prices have increased by 10.5 per cent in the last year, according to a new report.

This could encourage a number of retired people to cash in on the value of their property assets with a lifetime mortgage, which can provide them with a regular income or a lump sum cash amount to boost their finances.

According to the latest study by Nationwide, the average price of a UK property has increased by one per cent to £167,802 this month.

Nationwide said the figure means property prices are now just ten per cent below the market peak seen in October 2007.

Martin Gahbauer, the bank's chief economist, said: "The price of a typical UK property rose by a seasonally adjusted 1.0 per cent month-on-month in April, leaving house prices 10.5 per cent higher than a year earlier.

"Over the lifetime of the last Parliament house prices have risen by 6.7 per cent."

Expats, who still own a property in the UK, can see how much cash they can generate from the value of their property assets by arranging a quote from a reputable scheme provider.