Individuals saved £50,000 by switching equity release plans last year
Over the past five years, average equity release interest rates have reduced significantly. People who changed plans to take advantage of these lower rates saved an average of £50,0001 over the life of their loan.
Recently lenders have started to increase their rates. So, anyone considering switching equity release plans should consider acting now in order to secure the lowest possible rate.
Who can switch plans?
Whether your original plan was arranged through Mail Finance or not, we may be able to secure you a better deal by switching plans, or you could even potentially release more tax-free money from your home.
If you’ve had your existing equity release plan for 12 months or more, then you could receive a free, no-obligation review to find out if you could access a better deal than was previously available to you.
Lower interest rates mean savings
Lifetime mortgage interest rates can be fixed for life, so you could secure a lower rate before they rise much further. Switching plans could save you thousands of pounds in interest over the course of the plan when compared to your current arrangement. It could also mean that you can take advantage of more flexible plan features, as most plans now give you the option to make ad-hoc repayments, if you wish to make them, and early repayment charges now often reduce over time rather than being a set lump sum.
Plus, the Nationwide Building Society has reported average UK house prices rose by nearly 23 per cent in the past three years alone, meaning that you could release more cash from your home to enjoy spending.
Take advice
Changing your existing equity release plan isn’t right for everyone and it’s important that you understand what it could mean for you and that you consider advice from a specialist.
They will review:
Whether you qualify for the latest plan developments
Any changes in the value of your house
The amount outstanding on your current plan including accrued interest
Any potential early repayment charges that may be applicable.
Our service provides initial advice for free and without any obligation for you to proceed. Only if you choose to proceed and your case completes would a typical fee of £1,995 be payable.
Equity release may affect the amount of inheritance you can leave and your entitlement to means-tested benefits now or in the future.
Equity release may involve a lifetime mortgage which is secured against your property. To understand the features and risks, ask for a personalised illustration. Equity released, plus accrued interest, is to be repaid on death or moving into long-term care.