The impact state benefits could have on any decision to take out an equity release product concerned advisers the most with 77% saying they would like to receive further information and support on this.
Other areas which advisers would like to see covered more fully by providers and trade bodies included: lead generation and how to market their services more effectively; adopting quality risk profiling for their potential equity release clients; technical information on home reversion plan products; and the legal process that surrounds the equity release process and how best to prepare clients for this.
In response, Bridgewater has said it will cover these issues at its forthcoming broker forum events.
Peter Welch, head of sales and distribution at Bridgewater Equity Release, said: “The UK benefits system is subject to review and change however, by its very nature, it is a complex beast and equity release advisers are clearly concerned that they make their recommendations based on complete information, and they do not see their clients potentially suffer because of a decision to release equity from their homes.
“This expertise does not come overnight and even those advisers who are true equity release specialists are suggesting that greater information and support about the products’ impact on state benefits would be helpful.
“We have certainly taken this on board and will be working all the key areas highlighted by our respondents into our broker forum content and the technical aids we provide to advisers. It is perhaps no surprise that lead generation and marketing also figure so high in this survey given the need to identify those clients who may be suitable for equity release advice.
“One interesting suggestion from a number of advisers concerned the availability of practical case studies which highlighted specific customer needs, for example the use of equity release to fund care fees planning.
“This is a particularly topical request given the recent publication of the Dilnot Report into social care funding and the place of equity release within any new system as one potential source of cash to cover these fees.
“There were also suggestions for case studies which highlight the growing trend of ‘upsizing’ where individuals in retirement are using home reversion in order to fund the purchase of a bigger or better quality property. Bridgewater is therefore working with advisers who are handling these types of cases in order to make the details more widely available to all equity release stakeholders.”
