Equity Release
Are you a property owner looking to release equity? We can help you.
Equity release can be a useful way for retirees to access some of the value of their property to supplement their income or pay for expenses. However, it is important to consider the costs and risks involved, as well as alternatives such as downsizing or using other savings and investments – We will look at your individual situation and our experts will provide tailored advice to get the best options.
Types of Equity Release:
This type of equity release allows homeowners to borrow against the value of their property, typically up to a certain percentage of the property’s value. The homeowner can receive a lump sum or regular payments, and the loan is secured against the property. Interest accrues on the loan and is added to the amount borrowed, but the borrower does not have to make any repayments until they die or sell the property.
With a home reversion plan, the homeowner sells a portion or all of their property to a provider in exchange for a lump sum or regular payments. The homeowner retains the right to live in the property rent-free until they die or move out, at which point the provider takes possession of the property. The amount received for the sale of the property is usually less than its market value.