It is important to consider the benefits of releasing equity from property, according to a spokesperson.

Dean Mirfin, business development director at Key Retirement Solutions, encourages Britons to decide which form of equity release best suits their requirements.

His comments come following a proliferation of "sale-and-rent-back schemes" in which a property is purchased at about three-quarters of its market value.

But alternatives, such as traditional homeowner loans, could be a way for Britons to free up some funds from their property without having to sell it.

"Speed should really not be of the essence as such a big decision linked to the ownership of a home should be carefully thought through," Mr Mirfin explains.

He warns that sale-and-rent-back schemes are typically not subject to the same levels of consumer protection as are provided to the regulated loans market.

Recent research from the firm identified a ten per cent rise in the number of people looking into equity release during the first ten months of 2007.

Homeowner loans could be the ideal way for some of those people to obtain the additional funds they desire.ADNFCR-1287-ID-18371949-ADNFCR

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