Equity Release
Free guide to equity release & later-life lending
Many homeowners aged 55 and over are freeing up their monthly payments by releasing equity from their homes to clear their outstanding debt, giving them financial peace of mind. Once any mortgage has been repaid, the lump sum can be spent on whatever they wish. If you think this could be the right solution for you, it’s important that you follow these next steps.
Understand your needs
Have an understanding of what you would like to use the money for. You could release from £10,000, up to 55 per cent of the property value, dependent on the age of the youngest homeowner and value of your property. Once any outstanding mortgage has been repaid, the money that you release is yours to spend as you wish.
Contact a specialist
It’s important that you speak to a specialist equity release advisor to give you impartial information. Some advisors are tied to particular products, but through the Mail Finance Equity Release Service you will get access to advice from the whole of the market. This is because we work with the UK’s largest equity release broker1, Age Partnership, who have access to exclusive plans and rates not available to other advisors.
Receive your personalised quotation
Your advisor can provide you with a personalised illustration for your borrowing needs, which outlines the features and risks involved. Through our service, the quotation is free and you are under no obligation to proceed. Only if you then choose to proceed and your case completes would a typical fee of 2.25 per cent of the amount released be payable (minimum £1,695). Any money released, plus accrued interest, would be repaid upon death or moving into long-term care.
Make an informed decision
Your advisor will help you understand all of your options, including alternative methods for accessing the money, such as downsizing. They will tell you everything you need to know about equity release, including any effect on the amount of inheritance you can leave and if your entitlement to means-tested benefits could be affected now or in the future.