Leave Your Money Worries Behind...
Many people who are planning to retire or who have already retired are finding it increasingly difficult to maintain a good standard of living. The cost of living seems to be increasing consistently, with energy, fuel and food prices all seeing considerable increases and not guarantee that they will not rise even further!
With many people, retirement income doesn't seem to be keeping up with increased living costs and sometimes it's a struggle just to make ends meet!
Despite this, many homeowners are finding they have considerable wealth tied up in their homes due to the growth of property prices in recent years. However, this is of little use, and is of little comfort to those on limited income.
There is a solution.... Equity Release
Equity Release - the facts...
Equity release is a method of safely releasing the capital tied up in your home without having to move out of your property. Equity release is becoming an increasingly popular retirement planning strategy. The money raised is used to pay the owner of the property either a lump sum or a regular income, that can be used for any purpose.
Equity release schemes can be divided into two categories; lifetime mortgages and home reversion plans.
With a lifetime mortgage, you release some of the equity in your property using your property as security. Interest is added to the mortgage and accumulates over time until the scheme comes to an end.
After both you and your partner, if you have one, move into long-term care or pass away, your house is sold and the amount borrowed is repaid along with the accumulated interest. The remainder after paying amounts owed passes to either your estate or that of your partner.
Home Reversion Plan
Home reversion plans are different to lifetime mortgages in that although you also continue to live in your home you sell all or part of it rather than taking out a loan. After you and any partner pass away, your house is sold on and the proceeds are divided between the estate of you and/or your partner and the home reversion provider.
Getting Advice is vitally Important
Although both schemes work well there is much to consider when taking these decisions. At Mortgage Gate Ltd we are completely independent and impartial and have considerable experience with equity release products.
We are happy to come and see you in confidence, at a time and place convenient to you, with absolutely NO OBLIGATION. If you prefer, please call us on 01704 894419 to chat things over beforehand and we will do our best to answer any questions you may have.
We only advise on Lifetime Mortgages and Home Reversion Plans that are regulated by the Financial Services Authority (FSA). We do not give advice or get involved in unregulated 'sell and rent back' schemes.