Its revamped Property Plan allows homeowners to release part of the value of their property, while also ensuring a percentage remains within the ownership, giving borrowers the certainty of a protected share option.
Available to people over 65, the product provides reassurance of a protected share to leave as inheritance, with the option of product portability, if required. Lodgers and tenants are allowed within the property. It can also be used in a business capacity. Retirement Plus will not insist on the sale of the property if the resident goes into care.
Duncan Young, managing director at Retirement Plus, admitted the launch of the enhanced product had been rapid, but necessary. He said: “We launched in November but by February it was obvious that we had to make changes to our proposition. Our new product allows people to protect a share of their property automatically, which we believe is a very valuable tool.”
He added the wider equity release market had been forced to adapt due to other influences. “The Which? report into the lifetime market was very damaging and, as the market has slowed, there has been an uncomfortable period as a result, with in-fighting among a number of product providers. Our product is unique and gives something different to borrowers in the market.”
Dean Mirfin, business development director, at Key Retirement Solutions, said: “The Retirement Plus product is unique. The principle behind what they are doing addresses the reversion issue. It will be interesting to see how it does in the market. Because they are giving a share of the property it is a definite alternative.”
