Accessing the finance that is locked up in your home could enhance your quality of life. We provide clear advice on the options. 

As a homeowner wishing for a more financially comfortable life, you might consider unlocking the money tied up in your property. It could offer the opportunity to maintain your quality of life through retirement, fulfil a once in a lifetime dream or support your children and grandchildren. 

You could opt to sell and downsize, but the costs and upheaval of moving do not appeal to everyone. Great neighbours, the proximity to local facilities and the memories tied into your home mean that many people want to stay put. In this case, equity release could provide the solution. 

Scroll down to view the options for Equity Release.

The Equity Release Options 

The equity in your home is the total value of the property minus any outstanding mortgage. To qualify for equity release, you must be over 55 (60-65 for some plans) and own your home or have the vast majority of the mortgage paid off. 

The value of your home has likely increased from the original purchase price and this asset could solve financial worries. Depending on the plan, you could benefit from a lump-sum payment or staggered income in exchange for part or full ownership of your property. 

There are two types of Equity Release plan:

Lifetime Mortgage equity release offers an opportunity to remortgage your home. The loan and interest are typically repaid as a lump sum at the end of the plan; that is when you die or move into a care home. There is also the option to pay off the interest so it doesn’t compound. 

Home Reversion equity release involves signing over your property to the lender. You remain a rent-free tenant for the rest of your life, but they have full ownership of it. When you die or move into a care home, the property will be cleared and usually sold. 

It is important to only take out equity release with a company that has been accredited by the Equity Release Council. This will protect you against negative equity. 

Is Equity Release the Right Option for You?

Equity release is a major financial decision and there are many points to be considered. Our advisers will clearly outline the points for consideration including: 

• The market value of the property is not offered by equity release plans
• Equity release will impact your will and inheritance plans 
• A lump sum or income may affect your entitlement to means-tested benefits 

By answering your questions, we aim to help you decide whether or not equity release is right for you. If not, we can advise on other options that may be more suitable. 

Call Stringer Mann on 01442 874888 for an appointment to discuss equity release.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Equity Release is a lifetime mortgage or home reversion plan. To understand the features and risks associated with such products, please ask for a personalised illustration.