A survey suggested many law firms face increasing enquiries for specialist advice on wealth related to property and retirement income. But nearly 40% have no partnerships with adviser firms that could help in this area.
Research from equity release referral service Key Partnerships showed 71% of lawyers feared their knowledge of property finance options was out of date and half believed the advice they have been asked for goes beyond their core expertise.
More than half of law firms (51%) have found an increase in inquiries about using property wealth to boost retirement income and 47% report growing interest in using equity release to clear outstanding mortgage debts.
The advice inquiries are becoming increasingly complex - 22% say demand for advice on using property wealth to fund divorce or separation has increased and 30% say demand for advice on funding second homes has grown in the past year.
However, two out of five (39%) admit they do not work with independent financial advice firms on mutual clients.
Research was conducted online by independent company Pollright among a sample of 103 solicitors last month.
Jason Ruse, head of Key Partnerships, said: “Law firms are a trusted source of advice and often the first port of call for clients who need help with their finances.
“But it is clear they are coming under pressure to provide advice on areas that are not necessarily their core expertise and that is creating issues.
“The record pace of growth in demand for equity release market demonstrates the need for specialist advice on accessing property wealth.”