Equity Release Schemes

Types of Equity Release Schemes available

Lifetime Mortgages

Enable you to secure a mortgage loan against your property. When your home is sold, the mortgage provider will take from the estate the value of the outstanding borrowing which includes any accumulated interest.

Home Reversion Plans

You could sell all or part of your home and maintain the right to live there as a lifetime tenant. When your house is sold the provider will take their percentage share of the value of your home

Retirement Mortgages

Secure a mortgage against your home and keep repayments low by only paying the interest. There is no fixed repayment date as with standard interest only mortgages.

Drawdown

(This is a type of life time mortgage) secure a cash fund against your property that you then draw from as you need. This means you only pay interest on the cash you are using, while providing the peace of mind you can draw on more if needed.

Is Equity Release Right for you?

In all cases, we advise people looking for an Equity Release mortgage to talk to a whole of market mortgage advisor. An advisor who offers only Equity Release may have a conflict of interest, as they may not have the scope to suggest a different product that would suit you better.

Whilst equity release mortgages do have benefits for some borrowers, they can be complicated and affect your tax position and future financial planning. We find there are many other financial products available that could also meet the needs of those who thought Equity Release would be the only choice. If this is you, and you’d like to review your arrangements, please do get in touch.

That is why Daniel will sit down with you to understand your full financial position and goals for releasing capital from the start. Then we look at all the solutions available to you, including the cost and implications for each option. These might easily include Equity Release mortgages, but there could also be standard residential mortgages available which are cheaper than Equity Release schemes. Daniel will set out the options, with full explanations, and help you decide which is best for you.