Make dreams come true through equity release

And, according to new analysis from leading over55s finance specialists Key Retirement, equity release plans have boosted Scottish property owners’ retirement finances by more than £86million in the last year.

Equity release is available to those aged between 55 and 95 – who own a property worth at least £70,000 – and allows a tax-free cash lump sum to be taken from the value of their property.

Here, we look at some of the most popular uses for equity release cash. 1. Home improvements Of the nearly 1600 Scottish pensioners who used equity release in 2016, nearly half (49 per cent) invested some or all of the cash in revamping their home.

A cash injection could be used for everything from installing a new kitchen to landscaping the garden, creating a space that’s ready for later living.

We’re all guilty of daydreaming about an extended break in the sunshine – but some Scots have turned the dream into a reality.

In fact, 16 per cent of over55 equity release customers used their money to fund a holiday of a lifetime – ensuring they make the most of their time away from the office. 3. Helping children and family More and more children now have to rely on their parents and grandparents in order to get on to the property ladder or pursue further education.

And with equity release providing homeowners with the option to unlock the wealth built up in their property, 21 per cent decided to use the money to provide financial help to their family. 4. Clearing debts With the average credit card balance sitting at more than £10,000, retirees are looking for more ways to help secure their financial future and ease the repayment burden.

About 34 per cent of pensioners using equity release spent the cash on clearing debts, such as credit cards, loans, and also mortgages.