drawdown lifetime mortgages: This is similar to a lifetime mortgage; but with added flexibility. The cash can be released over time, as and when you need it. Because you only accrue interest on the funds once you have taken them, this can reduce the amount you pay over time (when compared with a lump sum)
home reversion plans: home reversion plans
interest only lifetime mortgages : interest only lifetime mortgages
lifetime mortgages: lifetime mortgages
Safe Home Income Plans (SHIP): SHIP equity release plans are completely safe and come with a set of guarantees, shown via the link below, that act to protect your financial future.
Independent advice on UK Equity Release Schemes
The most common misconception about equity release today is that you have to give up ownership of some or your entire home. This is not the case
Well over 95% of our clients elect to take out either a Lifetime Lump sum Only Mortgage, Drawdown Lifetme Mortgage or Interest-only lifetime mortgage (subject to availability). With all three of these modern plan types, you release a proportion of the equity in your property whilst containing to own it 100%. This means that you continue to benefit from any increase in your property value in the future.
In addition, most of the plans we sell are ‘portable’ so you can still move home, taking your equity release plan with you. Although there are now many safeguards to protect you the borrower, you should still ensure that you are aware of all the implications before entering into a lifetime mortgage. The following are points to consider:
- Because the funds that you release, plus any interest accrued, are paid back from your estate once you pass away, a lifetime mortgage will reduce the value of your estate and the amount that you will be able to pass on to your beneficiaries.
- It is possible that the additional funds made available to you through equity release could affect your entitlement to means tested-state benefits
- Two alternatives to releasing equity are downsizing to a cheaper property and/or taking in a lodger
- Some equity release plans impose an early-repayment charge, so you could incur charges should you wish to pay them off before your death. However, like a standard mortgage, these will vary from plan to plan, reinforcing the benefit of specialist equity release advice before you proceed.