Survey shows need for awareness of later life mortgages

June 20, 2020 by Brendan O'Neill

Surveys and Statistics

The results of a new survey published as part of the Virtual Roadshows run by Financial Reporter have revealed that borrowers remain ignorant of their options when it comes to later life products.

The Financial Reporter Virtual Roadshows feature online meeting rooms where delegates are able to talk to lenders from the later life segment of the mortgage market, even during the virus crisis. Two recent shows took place in Yorkshire & Humberside and the North West and saw more than 50 mortgage advisors present asked if they believed customers knew what their options were when it came to later life mortgages.

The products they were asked about included lifetime loans and interest-only retirement ones, as well as whether customers understood what the difference between these was. In response, all of the advisors stated that the customers they deal with do not know what later life products are available or what exactly each one offers.

When it comes to solutions, 67% of the advisors stated that coverage of the issue in the finance media and conversations with customers about later life mortgages were the best ones. However, 22% suggested that these products should be better advertised on the radio and television, while 44% argued that lenders should produce information packs that advisors can give to potential customers.

Clearly this needs to be addressed, CeMAP-trained mortgage advisors could be losing out on later life customers, while a section of the public is not getting the mortgage help it needs.