How to fund a better retirement...
...while looking after loved ones
Often, when you’re facing the question of how to afford your own retirement, there are loved ones also to consider. Nowadays, many over-55s are finding themselves caring for ageing parents as well as helping adult children. This leaves those in the middle – the sandwich generation – left with an added set of financial pressures and responsibilities at a time you should be looking forward to the next chapter of life. Faced with this juggling act, a solution many are turning to is equity release. Freeing some of the cash tied up in your home means you could benefit from the value of your property while helping loved ones too.
How equity release works
Equity release allows you to access some of the cash from your home, leaving you to enjoy the added boost in your finances. A lifetime mortgage, the most popular form of equity release, is a loan secured against your home which will reduce the value of your estate and may affect your entitlement to means-tested benefits. There are typically no monthly repayments to make as the loan, plus roll up interest, is repaid when the plan comes to an end. It’s a popular solution for those looking for help with funding their retirements, while still meeting the responsibilities of looking after others. There is a great deal of flexibility and range of features available in plans, you may wish to take one lump sum or an initial amount with the option to withdraw more funds when needed.
Thanks to these options, it’s easier to find a plan to meet your unique needs. Many decide to use the cash to help loved ones. There are also plans that let you guarantee an inheritance for your loved ones by protecting a percentage of your home’s future value, so giving now doesn’t mean anyone has to miss out later.
Good advice is key
Taking equity release is a big decision. It might not be the best or only solution available to you. If you’re considering releasing cash from your home, Key can guide you through your options. There’s no obligation to go ahead if you book an appointment. Our job is to give the expert advice and information you need to make the decision that meets your individual needs, with:
■ Qualified independent Equity Release advisers – we are not tied to any lenders
■ Face-to-face appointment at home – so you can invite your family members to be part of the process
■ Whole of market comparison – we consider all providers and products
After talking you through all your options, we will make a personalised recommendation for the product that best fits your individual needs and, if equity release isn’t right for you, we’ll tell you. Unless you decide to go ahead, Key’s service is free of charge, as our usual advice fee of 1.99% of the amount released would only be payable on completion of a plan, subject to a minimum advice fee of £1,499.
Find out if equity release is right for you by requesting your FREE Yours guide to unlocking the cash from your home, produced in partnership with the UK’s No1 independent equity release specialist, Key.