Money is a very important part of everyone’s life. People try to earn as much as they can in their heyday. This is because they know that once the working age fleets away, they have to settle with the fixed income nature of retirement pensions that they then receive. When they are earning they try to earn enough so that they can live well after they retire. But that does not always help. To top this, the cost of living keeps rising & pensions never seem enough when coping in the world of finance & grandchildren!
What can equity release schemes do?
If you own a house, financial woes can be alleviated substantially. If there is no mortgage then you can use an equity release plan as an extra source of income or provide a tax free capital sum which can be spent on anything you choose. For people who are retired, an equity release scheme can be salvation & life changing. So why not compare equity release schemes today.
What you can do is release a part or the entire equity on your home. The amount you should release must be in proportion to the planned expenditures you have in mind. The two types of equity release solutions are the lifetime mortgage schemes & home reversion plans. Each differs in the mechanics of how they operate & care must be exercise to establish which plan is best for you. This way, your financial needs are satisfied and you can lead the same life you lived in your heyday.
There is no specific rule as to how you should use the money you get from equity release. You can buy whatever you want, help the children when they need it lost, pay all your outstanding debts or treat yourself with that hard earned holiday in the sun.
There are certain criteria that need to be fulfilled if you want to apply for an equity release scheme. First, you should be at least 55 years of age, but, the older the better. This is because the older you are the bigger the amount you receive from your home . The second criteria is that your house should be standard construction & in good condition as they are lending you the money against your property, hence they will want it to be maintained & looked after. The third and the most important condition is that there must not be any pending mortgage on your property, otherwise the scheme will not be applicable.
However, as long as the mortgage is repaid; either with the equity release plan itself or by alternative means then all is fine & the equity release application can proceed. Remember at the end of the day, life needs to get easier in retirement. Don’t sit in silence, ask those questions about equity release you have always meant to ask & find out how to ‘live a little’.