Equity Release

Mortgages

Are there many things you want to do but you’ve not got the regular income that you have been used to?  Or  do you need extra cash for a special project or to do other things you’ve always wanted to do?

Discover how you can unlock some of the money tied up in your home.  There are mortgages designed to keep you in your home for as long as you like.  Please contact us for a confidential discussion or complete our enquiry form.

Enjoy complete peace of mind.  You’re completely free to choose how to spend your money. You can take it as a regular income, as a lump sum or as a combination of both.

Here are some of the ways the money can be used:

• Home Improvements and repairs
• Long term care/Health care funding
• School fees
• Gifts to children/grandchildren
• Paying off existing mortgage
• Purchasing a second/holiday home
• Reducing inheritance tax liability
• Providing lump sum for spending/investment

• You do not need to have an income to apply for an Equity Release mortgage
• No monthly repayments are required.
• The option to choose either a fixed interest rate or a capped interest rate for the life of the mortgage.
• No negative equity guarantee

The no negative equity guarantee is a very important safeguard for you, your family and any future beneficiaries of your estate. It means that there is no risk of them being left with an outstanding mortgage debt after your home is sold. Equally, you could benefit if the value of your home rises more steeply than the accumulating loan interest.

Taking out this loan may also affect those who stand to inherit from your estate so it is important to involve your family and anyone else likely to be affected.  Remember however to talk to your family and your solicitor.

The Home Equity Release Mortgage allows you to use your house as security for a payment-free loan which you can use any way you wish.

The property must be your main residence, of conventional construction in good condition and typically worth at least £40,000 (minimum value of £50,000 for sheltered accommodation is likely).  Any lease must have at least 80 years left to run.

An initial Arrangement fee is payable but this can often be added to the loan.  You will have to pay a valuation fee on application in order to ascertain how much your house is worth.

There are two versions of the Equity Release Mortgage:

• A cash lump at the start.
• A guaranteed fixed monthly cash release and a smaller lump sum.

If you choose a monthly cash release this will usually be paid for life, or until you require long term care or move into sheltered accommodation.

It is possible to borrow up to 50% of the value of your property, but the precise amount depends upon your age and your property’s valuation.  The percentage of your property’s value which is available to you as a loan, increases with your age.  In the case of joint borrowers the age of the youngest borrower is used to work out your maximum loan as given in the following example:-

Please complete our Equity Release enquiry form for us to provide more details.