What are the costs of equity release? As equity release continues to grow in popularity for homeowners aged 55 and over, it is important to ensure that anyone considering equity release is fully informed of the benefits, the potential risks and the costs involved. As so many of us approach retirement with value in our property but poor cash flow to live on, it is clear why more of us are taking equity out of property to use for things [...]
One of the most popular reasons for people to release cash from their home is to use equity release to make home improvements. (Read our blog about the most popular reasons for equity release.) While kitchens and bathrooms are by far the most common home improvements on the wish list – gardens and outdoor spaces are often high on the agenda too. According to Lisa Puttman, a qualified Architect who specialises in property developments for later life, access to green spaces [...]
Some people are surprised to learn that you can use equity release to purchase a new property. One of our clients recently did just that and they were delighted with the results. They have shared their experience with us in case it is helpful for others considering equity release. Mr and Mrs T: For us the Retirement of our Dreams was to Live Close to Our Children and Grandchildren For some years following our retirement we talked about relocating to [...]
The Newcastle University’s Institute for Ageing has published a report, which showed the total number of people over the age of 85 will double to 446,000, while the over-65s requiring 24-hour care will rise by more than a third, to one million in 2035. Lifetime Mortgages and Care In Later Life It is becoming a fact of life that many of us will have to pay for care at some point in older age. Whether we want care in our own home [...]
Would you release equity from your own home to help your children onto the property ladder? The "Bank of Mum and Dad" (BOMAD) is an increasingly popular lender when it comes to buying a home. According to research from L&G, parents will help to fund 317,000 homes in 2018, up 3% from the previous year. As you might expect, London buyers receive more help than any other area. Although under-35s are more likely to receive help from BOMAD (almost 3 [...]
It is becoming a fact of life that many of us will have to pay for care at some point in older age. The number of adults aged 85 years and older requiring constant care is expected to almost double to 446,000 in England over the next 20 years, according to a 2018 report from Newcastle University's Institute for Ageing. The number of over-65s needing 24-hour care is expected to rise by more than a third, to one million, in [...]
Equity Release and Your Parents Equity release is financial tool available to homeowners aged over 55. Most people who release equity from their home do so with a Lifetime Mortgage, which is a loan against your home, reducing the equity left in the property. It allows people to access some of the wealth in their property without having to sell it. It is a complicated financial product and your parents will need to take expert financial advice. If your parents [...]
Why do so many myths persist about equity release? Fact check. Equity Release is an increasingly popular method of borrowing money for home owners reaching or already in their retirement. However the term equity release can have controversial connotations for many who mistake it for unregulated lending that used to be problematic in the past, leading some borrowers into negative equity in the 1990s. Equity Release is in fact a highly regulated financial service that is only available to home [...]
