If you are aged over 55 you may be eligible to apply for an equity release product. There are two main types of equity release products that you access the equity tied up in your home.
The two common types of equity release schemes:
- A lifetime mortgage – this allows you to take out a loan and use the equity of your home as a guarantee. The loan, along with any interest accrued, is paid back when the property is sold
- Home reversion – a private reversion company will buy all or part of your home. You will be able to continue living in your home until you choose to move out or until the end of your life. The reversion company will take their share from the profits when the property is sold
Before deciding on which scheme to use it is essential that you seek independent financial advice.
How our equity release solicitors can help you:
- Advise you on the implications of taking out a lifetime mortgage or home reversion scheme
- Make sure you understand all the terms and conditions of the scheme