If you are facing problems in your life and are above 55 then equity release can help you ease your financial conditions. This is one of the best ways to have money without losing your home. Before getting into it always consider visiting a financial adviser who can guide you to take the right path for taking out an equity release. This scheme is essential for people who cannot afford to take out a normal mortgage due to having no financial backup.
What Are the Schemes of Equity Release?
There are basically two types of schemes that you can apply for. But make sure that your age is above 55 and you own the property. So, let’s see the schemes.
- Lifetime Mortgage: This is the easiest and the most prevalent way to get a lump sum of money for your property if you are 55 and above. You do not have to pay them back on a monthly basis, but the money is taken away after your death. Interest is added to it regularly which increases its amount. One can get up to 60% of their property’s value. You still are the owner until your death.
- Home Reversion: In this case you have to be 60 or 65 and above. You can sell part or your full house to get the amount of money that you need. You get about 20% to 60% of the market value. You still can remain in your house, but you have to be aware of the contract. Always talk to a financial adviser before taking the step.
Get proper advice before getting into any of the above-mentioned schemes as your property is essential to you. If you want to read about the procedures more then you can check out http://www.londonqequityrelease.net/ for good information.