Paradigm Mortgage Services is urging urged advisers to undertake a ‘full consideration’ of the equity release market when considering the needs of those clients in, or at, retirement.
Paradigm argues that many advisory firms would benefit from offering a specific equity release advice service covering the full range of equity release products, both lifetime mortgages and home reversions.
The mortgage partnership proposition is concerned that clients who may be suitable for an equity release product are not being catered for due to a lack of specialist knowledge within firms or adviser misconceptions about the true nature of the products, their benefits and client responsibilities.
Paradigm is urging all advisers who may have clients appropriate for equity release products to ensure they have either in-house (or introductory relationships with) specialist equity release advisers who have the necessary qualifications and permissions to offer advice on both lifetime mortgage and home reversion product options.
The call for greater clarity of advice with regard to equity release products comes following the publication of the Dilnot Report into the funding of social care and the growing financial needs of those reaching retirement within the UK.
Paradigm believes there will be a growing market for equity release in the coming months and years, and it says adviser firms need to ensure they are ready, willing and able to service the expected increase in demand.
Paradigm is currently updating its range of provider and adviser relationships within the equity release space and expects to announce a range of new and “enhanced”” strategic relationships with a variety of firms.
