Equity Release Schemes Info

Equity Release Schemes Info

Equity release schemes info is information provided to potential clients of equity release schemes, who are seeking a cash sum or income by securing a loan onto the value of their property. Individuals must be over the age of 55 to seek equity release schemes info. Our equity release advisers are available to provide equity release schemes info to all our clients, suggesting the most suitable equity release schemes depending on each client’s needs and desires.

When receiving equity release schemes info, each individual will realise the difference between two key products of equity release; lifetime mortgages and home reversion plans. All equity release scheme arrangements are ended when the borrower dies, or if the borrower is relocated to a care institution indefinitely, due to declining health.

Lifetime mortgage equity-release schemes make it possible for the borrower to repay the mortgage back to the provider at the end of the contract. There are three sub-schemes available within lifetime mortgages, the first being an interest only scheme. Here, only interest has to be paid to the provider on a monthly basis as the full mortgage repayment occurs subsequent to the borrower’s death. Rollover interest rates enable borrowers to repay interest along with the mortgage payment at the end of the agreement. Interest is accumulated monthly and added onto the debt. A home income plan requires the borrower to repay the mortgage, along with fixed interest, back via monthly payments. An annuity is obtained, which provides the borrower with a lifetime income and may be used to repay the mortgage.

Clients must be aware of the risks related to lifetime equity release schemes and undertaking equity release schemes info. Interest rates that are free to vary may intensify during the course of the contract, in turn building up interest which will further increase the overall debt. Younger borrowers are more at risk to interest build up, as their higher life expectancy gives way to a larger build up of interest. On the other hand, the borrower maintains full ownership of the property, which wouldn’t be the case on a full home reversion plan. Our team of specialised advisers make every effort to find the best form of lifetime mortgage for each of our clients, by offering them equity release schemes info and recommending a scheme that is suitable to their needs and wishes.

A home reversion plan is another form of equity release. The plan holder obtains a lump sum of money, which can be used as the plan holder intends. The borrower is also promised lifetime occupancy, on the basis that the provider sells the property on the market at the end of the contract. In return, the provider is entitled to ownership to the borrower’s property. A full home reversion plan grants the provider with full ownership to the home, whilst a part home reversion plan enables the borrower to maintain a certain percentage of the property’s share. In a part home reversion plan, any inheritors of the borrower’s wealth are authorised to receive a certain percentage from the sale of the property.

An individual who is considering the arrangement of an equity release mortgage plan needs to understand that this method may not be suitable if the individual wishes to sustain equity in their property. Equity is usually significantly reduced or sold by the provider of equity release-schemes. Our advisers aim to achieve the ideal equity release scheme for you, based on your financial and personal ambitions, providing equity release schemes info, whilst evaluating the current financial circumstance of the individual.

Seeking equity release schemes info? Call one of our specialist advisers today.

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This is a lifetime mortgage. To understand the features and risks, ask for a personalised illustration.

CHECK THAT THIS MORTGAGE WILL MEET YOUR NEEDS IF YOU WANT TO MOVE OR SELL YOUR HOME OR YOU WANT YOUR FAMILY TO INHERIT IT. IF YOU ARE IN ANY DOUBT, SEEK INDEPENDENT ADVICE.