Hodge sees RIO requests increase 36% in 2021
Hodge reported a 36% increase in the number of interest-only retirement mortgage (RIO) applications in 2021, compared to last year.
The total value of RIO mortgages with Hodge also increased by 31%, although the average loan value remained relatively stable.
Emma Graham, Director of Business Development at Hodge, said: “Despite a difficult year and early 2021, our latest data shows that interest in alternatives to traditional end-of-life products such as equity release, continues to grow.
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“As we have seen previously, interest in RIO mortgages continues to grow steadily but steadily. And it’s not just the number of apps that has increased, but the overall value of those apps as well.
“We believe this is in part because more and more clients are looking for other loan options later in life. And at Hodge, we’ve been able to develop products that fit an ever-changing older customer and their lifestyle.
“Since the launch of this product in 2018, RIO has slowly and steadily grown in popularity, with intermediaries presenting the product to their customers as a useful tool to free up finances, for things like home improvements, family gifts or simply to enjoy retirement after COVID. . “