ERSA is a group of established law firms which specialise within the area of equity release. They have joined together to promote the need for homeowners to have access to independent, competitively-priced expert legal advice before they take up an equity release plan.
In its report, “Equity Release: The importance of independent, specialist legal advice,” ERSA demonstrates the need for expert advice in the equity release sector by outlining the differences in the quality of legal services available.
The report reviews the key differences between using an independent, specialist and non-specialist solicitor for equity release cases. An ERSA member is able to offer eight unique selling points that a non-specialist solicitor cannot, demonstrating the benefits of enlisting them. These include a full knowledge of equity release products, secure online equity release case tracking, working to an agreed service level, tailored paperwork and a fixed price.
To demonstrate their commitment to the equity release sector, all seven ERSA members have signed up to a 12 point Charter outlining their promise to provide independent, personal level of service in plain English, with guarantees including: clients will receive a personal consultation, fair and balanced reports in writing, service level agreements, and all members will offer a no-completion, no fee service. For advisers, ERSA also guarantees that intermediaries will be paid their fees on the day of completion.
Claire Barker, Chairman, ERSA commented “If current predictions are correct, the equity release market will double in the next five years, and by 2016 it is estimated that 42% of the population in England and Wales will be eligible to take out an equity release plan. With the market expected to grow at such a rate it is essential that all of these consumers are receiving the best possible legal advice before proceeding with a plan.
“Solicitors have to remain independent to ensure that homeowners only take out an equity release product once they have carefully considered the pros and cons of going ahead from an unbiased third party. This will also help to ensure that the future reputation of the industry remains intact.”
