The total value of RIO mortgages with Hodge has also increased by 31%, although the average loan value has remained relatively static.

Emma Graham, business development director at Hodge, said: “Despite a difficult year and start to 2021 our latest data shows that interest in alternatives to the traditional later life products such as equity release, is still growing.

“As we’ve seen previously, the interest in RIO mortgages continues to grow steadily but surely. And it’s not just the number of applications that’s gone up, but also the overall value of those applications.

“We believe this is partly due to more and more customers looking at alternative later-life lending options. And at Hodge, we have been able to develop products that fit an ever-changing later life customer and their lifestyles.

“Since launching this product in 2018, RIO has slowly and steadily increased in popularity, with intermediaries introducing their customers to the product as a useful tool to release finances, for things such as home improvements, family gifts, or just to enjoy retirement post COVID.”