Equity Release Guide
Make sure the plan you choose does what you want it to do. Do you wish to draw money as and when you want to or do you want to release a single lump sum? Are you looking for something that will give you a regular income? Are you happy transferring the ownership of your home or having a legal charge on your home? How will it affect your Inheritance Tax position and means tested benefits? These are all questions that your financial adviser can help you with.
Study the Key Facts Illustration, this is produced from the provider, which your advisor must obtain when getting a quotation, this will show the impact of the interest rate on your loan, or in the event of a reversion, it will show the percentage of your home you have sold. Also consider the long-term impact of house price inflation if house prices increase or decrease. Whilst the projected amount of the loan may seem like a lot, think about how inflation will affect the true amount.
There will be fees involved in taking out a plan. These will vary from provider to provider but will be shown on the Key Facts Illustration.
You are responsible for the upkeep of the house while you live in it. You must have building insurance in order to take out a plan. You do not need to take this out with your equity release provider.
These plans are intended to be long-term loans. Check to see what early repayment charges, if any, you could be charged if you were you to repay the loan early.
The following links will download a PDF of our brochure and member directory:
