Understanding your personal circumstances is vital in finding the right equity release plan for you.
Published: April 7, 2021
Based in Southend-on-Sea and covering the whole of Essex, our specialist equity release mortgage brokers can advise if equity release is right for you.
Equity release mortgages can give you financial freedom in retirement to make home improvements, pay off an existing mortgage or just to give you a better standard of life in your later years.
Equity release mortgage brokers
Fully qualified equity release brokers
We have a team of equity release specialist advisors to answer all of your questions around equity release and whether it is right for your personal circumstances in later life. Our team has advised clients for years and pride ourselves on offering honest jargon free advice.
What to expect from your first equity release meeting?
If you decide that equity release could be right for you, our advisors will walk through step by step the stages involved and the benefits and conditions of equity release. The team will ask for details about your personal circumstances to determine if equity release is right for you and run through the benefits and risks of equity release.
Our initial meetings are free and there are no obligations, if you decide to continue with equity release we always ask our clients to also discuss the equity release options with their family or friends. Once you are happy to continue our team can then complete your application and confirm the amount of cash you can borrow.
Is equity release a safe option?
All equity release advisors are regulated by the Financial Conduct Authority and ensures consumers are protected when using any equity release products and safeguards, ensuring you always own your home and have flexibility to move. If you are considering equity release then it is always best to consult a mortgage broker or financial advisor for accurate and correct information on whether it is right for you.
How does an equity release mortgage work?
Equity release is a mortgage option to release the cash that is tied up in your property whilst you live there. You can take the money you release as a lump sum of cash or in smaller amounts. Your equity is the percentage of your home that you own outright. It’s the difference between the amount left to pay on your mortgage and the property’s market value.
Is equity release a good idea?
For homeowners aged 55 or over in the UK equity release could be a good option to unlock cash that is tied up in your home. People who have chosen to release equity do so for many reasons, it might be to have extra cash during retirement, to help out family members financially or to pay off the remainder of their mortgage. There are many reasons that people might want to release equity and every individuals circumstances are different which is why it is important to consider all aspects to the reasons why you want to release equity, as it is a big financial decision.
Should I consider equity release?
It is always best to consider all options before releasing equity in your home, this might be to consider downsizing your property first. But if you do not want to move home then equity release might be a viable option for your circumstances if you require a cash lump sum.
Can I release equity if I have a mortgage?
Yes, the purpose of equity release is to allow you access to some of the cash that has been built into your property over the years by paying off your mortgage. If you still have an outstanding mortgage on your property you are still able to release some of the equity in your home, if you are aged 55 or over.
How to release equity from mortgage!
Equity release isn’t an overly complicated process and any mortgage broker or financial advisor can offer the correct advice that meet your personal circumstances. The first stage in releasing equity would be to consult a financial professional who can provide the benefits and risks of equity release, then you will need to discuss your options and the final stage would be to complete your application to find out how much money you can borrow.
The amount of equity in your home is based on how much your home is worth and how much you owe on your mortgage, so even if your mortgage isn’t fully paid off you can still take advantage of equity release by changing to a lifetime mortgage instead.
What are the pro’s of equity release
- You will receive a tax free lump sum of money
- There are no limits to what you can spend the cash on
- You do not have to move home and can remain their for the rest of your life
- You retain full ownership of your home
- You can still move home in the future
- There are no monthly repayments
- You will never owe more money than the property is worth
What are the con’s of equity release
- Interest rates on equity release are generally higher rates
- You repay interest on the interest that is accrued
- It may reduce the amount of inheritance you wish to leave your family
Am I eligible for equity release
Your eligibility for equity release will depend on if you own a property in the UK and its value. You must also be 55 or over (or the youngest if a couple) and if you meet these criteria you could be eligible for equity release.
If equity release is taken out jointly, whether you are married or in a civil partnership, your partner will have the right to live in the property for as long as they want should you pass away or move into long term care.
Calculate the amount of equity you could unlock from your home?
If you would like to know how much cash you could potentially borrow from the money that is tied up in your home, then use our free online equity release calculator.