Using equity release
Equity release is a way of converting part of the value of you home into cash. It is only available to people of 55 years of age or over. You are free to use the money as you choose, and you can remain living in your home for as long as you wish.
Equity Release enables people to stay in their home and benefit from the cash released from the equity of their property until certain events occur for example moving into long-term care or death. At this point the Equity Release provider will be repaid, usually through the sale of the property.
Using equity release may reduce the amount you have to leave your loved ones when you die. But it’s also a way of giving an early inheritance, so you get to see your loved ones enjoying what you’ve given them - whether that’s by getting them on the property ladder, funding education, paying off debts or just treating them.
With a lifetime mortgage, you continue to own your home until it’s sold, so making improvements - like adding a new kitchen, conservatory or extension – could help you enjoy living there even more. Plus, it may add value to your home, making it easier to sell.
Equity release may involve a lifetime mortgage which is secured against your property or a home reversion plan which requires the sale of property for a discounted price. To understand the features and risks, ask for a personalised illustration. You only continue to own your own home with a lifetime mortgage.
Equity release may impact the size of your estate and it could affect your entitlement to current and future means-tested benefits.