The policy document was designed in response to adviser feedback and gives equity release advisers and their clients greater clarity about the types of properties on which LV= will lend on.
LV= has both a lump sum and a drawdown equity release proposition and is the only provider to offer advisers and their clients a fully guaranteed drawdown facility. It is also the only lender in the market who will consider lending on either second homes or holiday homes.
Advisers with clients who live in flats or apartments often find that they are offered a lower loan-to-value (LTV) than those who live in houses, but this is not the case with LV=.
Clients can access the same amount of equity regardless of the type of property they live in.
Vanessa Owen, LV= head of annuities and equity release, said: “Demand for equity release continues to grow as retirees look for ways to supplement their pension funds.
“We have updated our equity release lending policy in order to make it easier for advisers to quickly identify, in the first instance, the properties we will accept.
“We have a dedicated, bespoke underwriting team that look at properties before application on a case-by-case basis.
“Our tailored approach is the reason we can lend on certain properties that may have aspects that fall outside other lenders criteria.
“We find this approach leads to a better customer experience as we can provide certainty, subject to final valuation, before the customer has to start filling in application forms.”