Equity release allows a homeowner, typically aged over 55, to stay in their home and to have some of the value of their home released to them as cash without moving home. In 2014, according to BBC Radio Four’s Money Box Live, more than a billion pounds was released in this way.
There are a number of different types of equity release product and they generally allow homeowner’s to remain in their homes for the remainder of their lives as long as they adhere to the terms of the scheme. An adviser will find out more about your particular circumstances in order to determine if there is a scheme which is right for you, as some schemes may not give you the flexibility you require. Once he has researched the options available to you can then decide if there is a scheme that meets your needs.
Depending on whether you require regular income, a lump sum, or both there are a range of equity release schemes, which can involve selling all or part of your home, or alternatively borrowing money using your home as an asset.