Over half (53%) of customers have released additional funds from a lifetime mortgage for home improvements, Legal & General (L&G) Home Finance has found.

Research from the Centre for Ageing Better also found that whilst some of the funds are used to increase homes’ long-term efficiency, such as installing insulation or double glazing, for other customers, the funds are essential for adapting their homes to meet their later life accessibility needs. This allows them to remain in the same property, rather than moving or going into care.

Currently, there are one million homes across the UK that need adaptations to become a suitable place for its inhabitants, with a third of these people being 55 years old and over.

With an ageing population, property wealth can provide additional funds to make a home fit for purpose, such as replacing baths with wet rooms.

In the latest home adaptions English homes survey by the Ministry of Housing, Communities and Local Government, a shower replacing a bath is needed in 18% of homes that require adaptations.

Family support remains a priority and applications from new L&G customers have indicated that people continue to release equity from the homes to gift to their loved ones (17%).

Chief executive officer at L&G Home Finance, Craig Brown, said: “Property wealth can be a valuable asset for those who are considering covering more expensive home adaptations and want to increase the quality of their life. Our research found that home improvements continue to be the most popular use of equity release among our existing customers, helping those in later life stay in their forever homes.

“Using the loan value to help loved ones also remains a priority, with older generations wanting to pass on their wealth to financially support those who are starting their higher education journeys or are yet to get on the property ladder.

“At L&G, we are always listening and taking on board adviser and customer feedback, looking at ways that our products can change to reflect needs in today’s environment. It’s important to note that equity release is a lifelong financial commitment and won’t be suitable for everyone. Those considering applying for a lifetime mortgage must speak to a qualified financial adviser to be clear about all the options available to them.”

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