Not Just Mortgages charge a total broker fee of £795, which includes all appointments. If you are considering Equity Release, please contact us for a free informal discussion.
Lifetime Mortgages are the most popular plan as they allow you to benefit fully from any future increase in your property value, as you retain full ownership of your home.
Both you and your partner are free to live in your home for the rest of your lives and you can take a lump sum, monthly income, or a mix of both. The cash (equity) released is tax free.
Common uses for the money are to supplement pension income or make home improvements, remortgage from an existing loan or gift deposits for family to buy property.
Interest on the loan can be fixed or rolled up and the outstanding loan and interest is repaid by your estate when the last remaining person living in the home either dies or moves into permanent long term care.
How much can be released is primarily dependent on your age and the value of your property, although larger sums may be available to those with current or past medical issues in anticipation the loan may be repaid earlier than by a borrower without such issues.
A Home Reversion plan also allows you access to the equity in your property, but unlike a Lifetime Mortgage, you sell up to 100% of your property to the plan provider in exchange for a lifetime lease, effectively becoming a tenant.
No interest accrues on the sum you release, be it lump sum or regular payments, and the percentage of the property you retain remains constant, unless you release more.
At the end of the plan your property is sold and the sale proceeds are shared according to the remaining proportions of ownership.
Again, depending on your age and medical conditions, you may be able to access more funds. You will be provided with a tax free cash lump sum (or regular payments) and a lifetime lease, guaranteeing you the right to stay in your property rent-free for the rest of your life.
There is no day to day interference and no restrictions in treating the house exactly as before, but you are expected to keep the property in a reasonable state of repair.
TO UNDERSTAND THE FEATURES AND RISKS OF AN EQUITY RELEASE PLAN, PLEASE ENSURE YOU ARE FULLY ADVISED AND OBTAIN A PERSONALISED ILLUSTRATION BEFORE COMMITTING
Not Just Mortgages is an Appointed Representative of New Leaf Distribution Ltd., who are authorised and regulated by the Financial Conduct Authority, number 460421.
Registered Office: 1st Floor Princess Caroline House, 1 High Street, Southend on Sea, Essex, SS1 1JE.