Have you been considering Equity Release? Although the popularity of Equity Release has soared in recent years there are still many misconceptions that often mean people overlook the benefits of a lifetime mortgage.
There has been a rise in the number of products available paired with competitive rates meaning many of our clients are enjoying the many benefits that Equity Release offers. Before we fill you in on the role Equity Release can play in boosting your finances, we’re going to debunk some common myths!
I’ll end up owing more than my home is worth
Equity Release plans that are approved by the Equity Release Council will come with a no negative equity guarantee. The means that you will never owe more than the value of your home when it’s sold.
I’ll no longer own my home
Equity Release does not mean that you are selling your home to the lender, you are simply borrowing against it and you will remain the owner. A lifetime mortgage has no fixed end date unlike a conventional mortgage meaning it lasts for as long as you need it, this option is invaluable for older homeowners.
I won’t leave anything to my loved ones
Due to the flexibility of lifetime mortgages, there are now plenty of plans that allow you to protect a portion of your equity for inheritance. You can even choose to use Equity Release to provide family members with an early inheritance, allowing you to make memories with your family.
I can’t release equity because I’ve still got a mortgage
It’s actually a fact that using property wealth to pay off an existing mortgage is one of the most popular uses of a lifetime mortgage.
I won’t be able to move home
Just like a traditional mortgage you can move home and take your agreement with you.
Here are some benefits of Equity Release that are often overlooked:
- You can finance your retirement, holidays and lifestyle
- Interest rates are currently at record lows
- You can help your loved ones when they need it the most
- You can choose to take a lump sum or monthly income
- You can get out of being a mortgage prisoner.
If you have questions about Remortgaging your home or Equity Release you can contact Hathway's Mortgage Services at firstname.lastname@example.org our team are on hand to find the right product for you and your circumstances.