Releasing money from your home could give you a more comfortable retirement.
Equity Release allows you to access some of the money tied up in your house with absolutely no worries of having to give it up.
Many retired people find themselves ‘asset rich and cash poor’. Maybe your pension isn’t as much as you had hoped for but you have seen your property value soar.
The basic form of lifetime mortgage is a lump-sum loan, where the interest payable is ‘rolled up’ over the full term.
There’s nothing to pay for the rest of your life, but interest is compounded year on year until you die (or move into a residential care home).
For most lump-sum deals, interest rates are fixed at the outset.
What could you do with a lifetime mortgage?
The uses for a Lifetime Mortgage are endless, as long as it’s a legal you can use the money for what you want, here some typical examples:
Family – You could give family members their inheritance earlier, which could help with the deposit on their first home, for example, doing this would reduce the value of any future inheritance. If you give the money away, the recipient may have to pay inheritance tax in the future.
A holiday – The holiday of a lifetime for you, with friends or for the whole family.
Interest-only mortgage – A lifetime mortgage could be used to repay the balance of an interest-only mortgage. You may have to pay an early repayment charge to your existing lender.
Income – It could supplement your pension income and improve your general standard of living.
Debt– You could relieve the pressure of monthly repayments and pay off any outstanding debts, although it’s important to think carefully about securing a debt against your home.
Home improvement– Many people use a lifetime mortgage to improve their home or make it more manageable so they can stay in it for longer.
How we can help you
- No Negative Equity Guarantee
- No monthly payments, or optional payments
- No need to move home
- Choose from a lump sum, or supplement your income.
- Available from the age of 55 years and upwards
- Protect some equity for inheritance
- We only recommend lenders that are members of the Equity Release Council (formally SHIP)
- Home Reversion and Lifetime Mortgage Schemes available
You should discuss with your family and intended beneficiaries to your Will that you are considering an equity release plan.
You should also seek independent legal advice.
Releasing equity from your home is generally seen as a long-term commitment, it is not ideal for short-term borrowing
Be confident, our advisers are here to help you make an informed decision and will tell you straight away if equity release isn’t right for you, you may even be eligible for a more conventional type of mortgage
This is a lifetime mortgage or home reversion scheme. To understand the features and risks, ask for a personalised illustration.
There will be a fee for mortgage advice. The precise amount will depend upon your circumstances but we estimate that it will be £1995 or 1.5% of the loan
