The majority (84%) of people aged under 50 have needed help from family members to purchase property, pay off debt and meet rising living costs, according to research by Hodge.
The research found that 61% of people aged under 50 had dealt with these challenges with the help of relatives releasing funds against the value of their own property.
A quarter of those who had received financial support in this way used the funds to purchase a property.
Hodge questioned 1,240 people aged between 16 and 80; more than half of those aged over-50 (57%) said the cost of living has also affected their ability to lend money to others.
Emma Graham (pictured), business development director for mortgages at Hodge, said: “What these figures show us is that families are moving into a different era financially, and starting to focus much more heavily on pooling their monetary resources.
“There is a progression now, it would seem, towards meeting the challenges presented by the cost-of-living crisis as a united family unit, and looking at what can be drawn down from assets the previous generation has amassed in order to support their children or grandchildren now, as opposed to focusing on what could be set to get passed on.”
Hodge has made a series of significant enhancements to its later life mortgage products to support older borrowers facing affordability issues in recent months.
Alongside a number of affordability related criteria enhancements to new purchase and remortgage applications, the specialist lender also announced a reduction across both its 50+ and RIO mortgage range of products last month too.
Graham added: “What these figures show us clearly, is that the need to remain flexible and support borrowers at all stages of their life for the benefit of family members looking to get on themselves is more crucial than ever.
“Our focus here at Hodge has always been to flex and respond to market pressures in a way that allows us to continue supporting our brokers and their customers in the moments that matter, and we’re working harder than ever in light of this research to make sure that continues.”
