If you are above the age of 55, equity release (now more commonly known as a Lifetime mortgage) can be considered as a suitable option to release money that is currently tied up in your property. They will allow you release a lump sum, or a regular income, whilst still maintaining ownership of your property.
Our clients release equity from their property for many reasons. The most popular being repaying an interest only mortgage that is coming to an end, helping loved ones take their first steps onto the property ladder or topping up savings to live a better life in retirement.
You can also use a Lifetime mortgage to purchase a property. Therefore, if you are too old or do not meet affordability for a residential mortgage then this may be an option.
Unlike a normal mortgage, where you are required to make repayments each month of either capital and interest or interest only, a lifetime mortgage allows the interest to be “rolled up” onto the balance of the mortgage. Therefore, you make no monthly repayments. Alternatively, you can service the loan and pay the interest to avoid the effect off interest roll up.
There are many different Lifetime mortgage products on the market and we can recommend a package that meets your specific requirements.
The Mortgage Hub are members of the Equity Release Council. The Council sets high standards and safeguards to protect consumers.
Advice Fee £895 Payable on completion.