Equity release drawdown tops £260m in Q3

The amount drawn down from property via equity release plans rose to £261m in Q3 of 2011, from £256m in the same quarter last year.

Key Retirement Solutions (KRS) estimates people who have already accessed equity release still have a further £118m available to be withdrawn from their properties.

Sales of equity release plans across the market rose 3.8% year-on-year to 5,791 in the three months to 30 September 2011.

The average amount released during the quarter was £41.887, a slight increase from Q3 2010 when the average was £48,884.

Dean Mirfin, director at KRS, said: "The drawdown effect means total lending including the unused facility is more than £1 billion for the first nine months of the year confirming the strong growth in the market.

"The increase in plan numbers remains the true barometer for the growth in the sector."