Equity Release Raising Money Through Your Home
There are too many types of equity release schemes to go into specific details on this site but the fundamentals are the same. in essence a homeowner can tap into the value of their property instead of having to sell up.A homeowner that needs to raise money to help in their retirement may use the equity that they have in their home. There are a few very large institutions thatr deal with equity release which will pay you a lump sum that is only to be repaid when you die. You don’t have to be working and you don’t need to have an income because you will not have any monthly payments to make.
Taking A Lump Sum for Your Home
The lump sum that you will receive will only be a small percentage of your homes value (depending on your age) and is not repaid until the house is sold when you die. Typical loans of this nature may only equate to circa 35% of the value of your home. This may seem like a low figure but you have to take into consideration that you will be living in the house rent free and mortgage free. Most of the companies that offer equity release schemes are pension companies and large insurers who are adept at pricing in risk.
We don’t offer equity release schemes but we do buy life tenancies. If you are looking to sell a property that is occupied by a life tenant please get in touch with us. We can normally get back to you very quickly with an offer.