Equity Release
A secure, regulated method to release capital from your home.
Release Cash from Your Home with a Lifetime Mortgage
Lifetime mortgages are a means of releasing equity from your home while you continue to reside in it, provided you are 55 years of age or older. This method is one of two primary ways to release equity and functions as a loan secured against your home.
To be eligible to release equity from your home with a lifetime mortgage:
- You must be aged 55 or over.
- You must own (or be buying) your own home, with little or no mortgage left to pay.
- Usually, your home must be worth at least £70,000 or £100,000 depending on your property type.
You have the option to receive the funds as a lump sum, in several lump sums, or as a consistent income. Repayments are not required until you either pass away or transition into long-term care. The amount you can release depends on your age, the value of your home, and the specific product you select.
Equity release includes Lifetime Mortgages and Home Reversion Schemes. We can advise and arrange Lifetime Mortgages only and will refer you to an approved specialist for Home Reversion schemes.
Because we play by the book we want to tell you…
There may be a fee for mortgage advice. The precise amount will depend on your circumstances and will be agreed with you before proceeding but estimate this to be £995.
This is a Lifetime Mortgage. These are only applicable to those 55 and over, and it could affect eligibility to state means-tested benefits and the inheritance you may leave. To understand the features and risks, ask for a personalised illustration.
Lifetime Mortgage
A Lifetime Mortgage allows you to borrow against your home’s value while retaining ownership. The loan is settled when the homeowner either passes away or enters long-term care. These products might not be suitable for everyone. Let Impartial Financial Management guide you in determining if this is the right choice for you. Reach out to us, and we’ll help assess the best options tailored to your needs.
Home Reversion Schemes
In a home reversion scheme, you sell a portion or the entirety of your property below its market value but remain in your home as a tenant. At Impartial Financial Management, we specialize in advising and arranging Lifetime Mortgages. For Home Reversion schemes, we’ll direct you to a trusted specialist.
Equity release includes Lifetime Mortgages and Home Reversion Schemes. We can advise and arrange Lifetime Mortgages only and will refer you to an approved specialist for Home Reversion schemes.
Retirement Interest Only Mortgage
Available to individuals over 55, the Retirement Interest Only Mortgage is a loan secured against your residence. By covering the monthly interest, the total amount you owe remains constant. This loan can be used for a variety of purposes, including settling an existing mortgage. Importantly, repayment is only due when the borrower (or the last remaining borrower) passes away or transitions into long-term care. As with all financial products, they may not be suitable for everyone. Allow Impartial Financial Management to assist you in determining if a RIO Mortgage aligns with your situation and goals.
We will aim to help you understand which equity release product is right for you. The length of time it takes to release equity from your home will differ depending on the product and provider we recommend but on average, it can take about 8-12 weeks.
Inheritance Tax Implications: There may be inheritance tax implications when taking out a Lifetime Mortgage. We do not provide tax advice ourselves, so please ensure to contact an independent tax adviser who can outline the tax implications for your specific circumstances. It is important to remember that before choosing a lifetime mortgage, you must always receive specialist advice and look to involve any of your immediate family who may have an interest in your future financial security.
Equity release includes Lifetime Mortgages and Home Reversion Schemes. We can advise and arrange Lifetime Mortgages only and will refer you to an approved specialist for Home Reversion schemes.
Still not sure if this is the right option for you, do you have more questions, looking for calculators to predict what policies might cost?
We’ve got you, Have a look at our online tools and support sections. where we have a list of our most common FAQ’s, Glossarys or terms and links for online calculators and our all round catalogue of content which we think is mega helpful!
