EQUITY RELEASE EXPLAINED

Equity release is available to homeowners aged 55 and over, and with a lifetime mortgage you will continue to own your home.

You can be working or retired, single or married.

Plenty of people use equity release money to help pay off existing mortgages or other debts.

Equity release funds are tax free and you can spend them on anything you choose.

You can release up to 55 per cent of the value of your home, though the exact amount paid will depend on your personal circumstances, including your property’s value, and your age and health.

With the most common type of equity release, the lifetime mortgage, typically you won’t won’t have to make any monthly repayments. The loan plus rolled-up interest is repaid when the plan comes to an end.

Key will always work with independent solicitors and surveyors during the equity release process, giving you peace of mind.

Equity release will reduce the value of your estate and can affect your entitlement to means-tested benefits. That’s why Key suggests, where appropriate, adult children should come along to any meetings about future financial planning and be part of the decision-making process.

If you want to be sure of leaving your children an inheritance, just ask your Key adviser. Some plans guarantee that a set proportion of your home’s future value is protected.

The FREE equity release guide from Key can explain much more. Get your copy by calling 0800 408 7169.