Of course equity release advice is essential!

The market seems to double in size every few years and major high street lenders are finally throwing their hats into the ring – so what's the problem? Well, regardless of our own success within this little equity release echo chamber, our customers are still confused about the lifetime mortgage but, more worryingly, many are downright suspicious of advisers.

According to recent research conducted by Moneyfacts, as many as a quarter of over 55s surveyed said they would not trust an adviser. This, quite obviously, is a serious problem. However, the issue is intensified by the fact that some two-thirds of consumers believe they have a clear understanding of equity release, and 40% think they could take on a lifetime mortgage without any advice at all. In essence, there are vast swathes of our potential clients who believe they do not need any advice whatsoever - but I fear most actually do not understand modern equity release and if they did the trust would return.

The industry has changed drastically in just the last few years - just look at the dramatic shift in popularity from lump sum to drawdown, along with numerous flexible options, for example – but would the man on the street know this? I would argue they wouldn't. Professional, expert advice is still the best way for customers to get the absolute best option. But we need to get this message across to our potential customers in a much clearer way.

It is always going to be difficult to change people's minds and tell them that they must take advice before moving forward with things like equity release. There is an element of pride attached to being able to understand financial issues, and it's understandable that so many feel like they can do it alone. The challenge, therefore, is to not undermine people but rather continually help them understand our market and the ways it is changing.

Unfortunately, as our market evolves and modernises it can sometimes feel like the only people who know about these advancements are those working within the market. We must therefore break down this barrier and make equity release a story in the mainstream not only focussed on how big the market is becoming, but more on the interesting and revolutionary products that are being launched.

For example, how often do you see equity release mentioned in the mainstream press? And how often is the story prefaced by a simplified explanation of what a lifetime mortgage actually is? It would be bizarre to read a story about traditional mortgages beginning with a description of how a mortgage works, and yet this is the norm when equity release is discussed. The significance of this is that in reality most average people, and indeed some average mortgage advisers, are not clued up on our market. We will only get to a point where people really understand equity release when the lifetime mortgage becomes as readily understood as a normal mortgage. And until that point is reached advice remains essential. However the complexities of a lifetime mortgage along with the numerous options will, in my opinion, mean advice is always essential.

Ultimately, regardless of the industry growing rapidly, new lenders and products being launched, and a general positive atmosphere surrounding equity release, much of our customer base is on a completely different page. To truly tackle this issue we need to change the narrative. We need to help shift the focus from how much business we are doing, and focus on the facts of modern equity release. People need to be aware of how our products have become so much more flexible, protected and tailor-made to our customers' diverse needs. It is a great shame that people are distrusting of advisers, but the best way to tackle this is to break down this communication barrier and spread knowledge. This must be a team effort between lenders, regulators and individual advisers. And when the general population are truly clued up on equity release the trust will hopefully return.