There has been a jump in the number of property owners with higher value homes taking out new lifetime mortgages, according to research from Pure Retirement.

Around one in eight new lifetime mortgage plans (12%) were taken out by owners of properties worth a value of at least £700,000 during Q2.

The lender noted the figure marks both a quarterly and annual uptick, with this demographic accounting for 9% of Pure Retirement’s business in Q1, while the latest figure is also up from 10% in Q2 2024.

Pure Retirement’s analysis showed that most of its Q2 business this time came from owners of properties in the £250,000-399,000 range, accounting for 36% of new lifetime mortgages, up from the 32% seen in Q1 and on a par with what the lender observed in Q2 last year.

The latest findings also showed a quarterly average house price among new customers of over £404,000 – continuing a longstanding trend of the lender seeing an average property values sitting at over £400,000.

“Seeing such a proportion of business coming from high value property owners – and the fact it’s on an upward trend – only serves to underline the importance of offering later life lending solutions that can cater for a wide variety of circumstances,” said Pure Retirement CEO, Paul Carter.

“Statistics like this confirms the need for the later life lending market to recognise the diverse array of clients and continue to develop effective solutions to enable as many people as possible to achieve their financial goals.

“By releasing these figures we hope to widen adviser understanding of underlying trends so that they’re better placed to effectively serve their clients.”

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