Equity Release
EQUITY RELEASE. UNLOCKING MONEY FROM YOUR HOME Equity Release - an overview The issues surrounding pensions in the UK affects us all, but it is already a very real and daily challenge for millions of retired Britons. Many retired people who manage on a small income in retirement and limited savings are also living in properties which have soared in value in recent years. Equity release plans - also called lifetime mortgages, home reversion or home income plans - are a way of releasing cash, whether to Buy that new car,Make home/garden improvements Pay off debtsTake a Holiday or even buy a Holiday home Increase your monthly income Treat family/friends Have a special celebration Fund future care needs Pay for medical care or simply to make daily life more comfortable. These schemes essentially allow you to borrow money against the value of your home, with the debt being repaid from the sale proceeds after your death.How they work While there are a range of different schemes offering lump sums and/or regular income, they all work on the same principle. In most cases you will need to be at least55 years old, have no outstanding mortgage (or you will need to use the equity release money to pay down the existing loan), and own a property in reasonable condition. Equity release plans can be complicated products and are a major step for many people. Your house is almost certainly the most expensive asset you own; it is also your home. Good advice is therefore key. Age Concern and the Financial Services Authority, the UK's chief financial watchdog, both recommend getting independent financial advice before proceeding, to understand the features and risks please ask for a personalised illustration If you would like to find out more about releasing some of the value of your home, without giving up ownership and without having to make monthly payments just call Melsham Financial Services now on 01493 700003