Parents would release £10K equity to help kids

Most parents and grandparents would be comfortable releasing up to £10,000 from their homes to help their offspring, research suggests.

A survey of 1,142 people conducted by the Equity Release Solicitors Alliance (ERSA) found one in seven respondents would release up to £10,000 for their children, and a quarter would consider releasing up to £20,000.

The most common uses of equity release for children and grandchildren were to help with house deposits, mortgage repayments, rent, or university fees.

Claire Barker, chair of ERSA said: "Traditionally equity release is taken out to enhance people's retirement but according to our research, people are increasingly looking to release equity in their homes to help their families too.

"In this situation taking professional advice from a broker and also a qualified solicitor is of paramount importance as people need to understand all the legal implications and consequences of equity release."