Recent data has revealed that the number of single women taking out lifetime mortgages has grown by 12% since 2016.
According to the OneFamily statistics, the proportion is up from 23% to 35% in 2018, with the uplift having been attributed to a range of factors such as a rise in divorce rates and reduced pensions savings.
Where lifetime mortgages are concerned, the most common group of borrowers are married couples at 42%, with single men accounting for the lowest proportion at 23%.
In order to boost retirement income, women unlock around £88,000 in equity on average, with the research indicating that women over 55 build up savings of around £70,000 for later life. However, between this and their annual income expectation of £20,000, there is a significant shortfall.
Commenting on the data was Managing Director of Lifetime Mortgages at OneFamily, Nici Audlahm-Gardiner, who stated: “It is heartening to see more women are becoming confident to take advantage of the wealth locked up in their properties. Many lose out on opportunities to save more for retirement, as they are the primary caregivers, taking career breaks to raise children or care for an ill or elderly relative, and so inevitably, end up with less money for retirement.
“A lifetime mortgage means they can access the equity in their home, gaining an additional income, which they can then use to enjoy their retirement.”
