Prudential reports market leading lifetime mortgage sales

Prudential has reported a strong first quarter performance for its lifetime mortgage business, and believes its sales during this period made it the number one provider in lifetime mortgages.

This is despite a backdrop of economic uncertainty where many consumers are less likely to make large financial decisions.

Prudential's total mortgage advances in the first quarter of 2008 were £51 million, the highest quarter sales since Prudential entered the market in 2005 and up 50 per cent on the first quarter of last year. Of this £51 million, £13 million of advances were taken as a lump sum, with £38 million taken through Prudential's drawdown product.

Commenting on the results, Keith Haggart, Director of Lifetime Mortgage said: "Our first quarter results are particularly impressive given that Lifetime Mortgage sales are traditionally flat during this period, mainly because it reflects business conducted leading up to Christmas. That combined with economic uncertainty, which naturally impacts the market as a whole, underlines that in such times advisers turn to well established and trusted brands.

"We are predicting continued solid growth in the Lifetime Mortgage market this year. No negative equity guarantees, and fixed interest rates for the lifetime of the loan, means that there has never been a better time for customers to consider a Lifetime Mortgage."

Prudential's lifetime mortgage is available to homeowners aged between 55 and 84 and has a range of features that are designed to provide flexibility and closely meet the needs of customers in this growing market. Prudential offers both a lump sum and drawdown product with optional features such as a guarantee of inheritance of either 10 or 20 per cent of their existing house value, without affecting the amount of equity they can release through the plan.