Should parents use equity release schemes to support child house purchase?

Equity release schemes taken out by parents can boost first-time house purchases as more and more people are relying on their parents for financial help when buying their first homes.

Helen Adams, managing director at FirstRungNow.com, pointed out that there had been a shift in trends as single people made their way into the property market, opting to buy alone.

She said: "I think that there was a time when people realised that to get on the property ladder they needed to buy with someone else - their brother, partner or friend - but since that time it has become clear that parents invariably need to get involved."

Data made public by Santander indicates that since 2006, 37 per cent of first-time house buys were undertaken by singletons while only 29 per cent couples opted to buy their first home together.

House costs in Britain have also undergone a price hike, reflecting a 0.2 per cent rise in April 2010 in contrast to the month before, according to the House Price Index published by the Land Registry.

Ashall Glover Financial Services advising on equity release schemes.