How can I apply?

Equity release is a financial product that enables you to access the equity in your home without having to sell it. This can be a valuable option for people who have a lot of equity in their property but are looking for additional income or a way to finance a specific need. However, equity release is not suitable for everyone, and it is important to understand the pros and cons before deciding if it is the right choice for you.

Pros:

1. Access to cash: Equity release provides you with access to cash that is tied up in your property, allowing you to use it for any purpose you choose, whether that’s to cover the cost of home improvements, pay off debts, or support a loved one.

2. No repayments required: Unlike a traditional mortgage, you don’t have to make any repayments on the loan until you die or sell your property. This can be a valuable option for people who don’t want to worry about making regular mortgage payments in their later years.

3. Flexibility: Equity release plans come in a variety of forms, including lifetime mortgages and home reversion plans, each with its own unique benefits and features. This gives you the flexibility to choose the plan that best meets your needs and financial circumstances.

4. You can still leave an inheritance: With some equity release plans, you can choose to protect a percentage of your property’s value for your beneficiaries, ensuring that you leave an inheritance for your loved ones.

Cons:

1. Decrease in inheritance: Equity release plans will reduce the amount of money you can leave to your beneficiaries, as the loan will need to be repaid when you die or sell your property.

2. Interest: Interest on the loan will accrue over time, which will increase the amount you owe and reduce the value of your estate.

3. Loss of control: Equity release means giving up some control over your property, and the provider of the equity release plan may have the right to sell your home if you’re unable to repay the loan.

4. Reduced mobility: Equity release plans are tied to your property, which means that if you move house, you’ll need to take the loan with you or repay it in full.

In conclusion, equity release can be a valuable option for people who have a lot of equity in their property but are looking for additional income or a way to finance a specific need. However, it is important to fully understand the pros and cons of equity release before making a decision, and to seek professional advice from a qualified financial adviser.

Equity Release

This form of lending is most suitable for those over 65, however, it’s possible to do

this if you are over 55. It is important to understand that these are lifetime mortgages and to

understand their features and risks, you will need to have a personalised illustration.