What is Equity Release?
It is simply a term that is used with regard to releasing the equity that has built up in your property. By releasing the equity it allows you to benefit in many ways from the value in your property. You can use the equity release in any way you choose. As a lump sum, as income or as a combination of both, whilst you are able to continue to live in your property.
We live in serious economic instability. Pensions and investment values have been very volatile over the recent years and people have released the equity in their property to help them over these times to enable them to use the money for many different things –
- Improve their homes
- Pay for holidays
- Major purchases such as a caravan or holiday home
- Help children or grandchildren who may have financial difficulties
- Extra money to maintain their standard of living
Investments have fallen and the ever increasing fuel costs along with other household bills increasing have lead people to want to supplement their income. Equity release can be one of the answers. Releasing equity from your property to take an income, either monthly, half early or annually.
People say equity release is complicated. It’s not. We as a company have a wealth of experience working with the over 55’s. We will research all the providers’ plans who offer equity release and source the best plan for you. Allowing you to consider your options and help you make an informed choice.
There are two types of Equity Release, “Lifetime Mortgages” and “Home Reversion”
A lifetime mortgage means you retain the ownership of your property. You continue to live in your property until you move into a care home or until your death. You do not have to make any monthly repayments or you can chose to make monthly payments during the life of the mortgage.
With a Home Reversion you sell all or part of your property. No interest payments are made. You can continue to live in the property until your death or you move into a care home.
Both of these types of plans are portable, this means you could move to a new property and transfer your plan to that new home. This would obviously be subject to the equity release company’s conditions. Both types of plans offer a no negative equity guarantee, which means you, will never end up owing more than your property is worth.
To find out how these products could help you please call Bowls Manager:
0800 612 7362 / 07964 282 678