Posted on: 09th Jan, 2006 11:43 am
I am looking for some suggestions on equity release. My aunt wants to do some repairs on the home she stays in. She doesn't have the required finance. A friend of her suggested for equity release. She wanted to verify from me but I too don't have any idea on the process and even not acquainted with the term. She is a widow and her earning is only from her pension. Can some info be provided on it?
Hi Moore,
Equity release is a process to have income from the cash value of the house. These schemes are helpful to senior homeowners to convert some of the value of their homes into cash. Types include - rolled-up interest loan, home reversion scheme and home income plan.
The scheme is helpful to senior people who want to have some extra income or a lumpsum cash to serve any special needs. They own a home but a relatively low income.
The scheme can be used by old age people or retired persons to raise their income to meet some extra expense like home improvement or repair or in some other purpose.
The qualifying age for some schemes is 55, although many prefer your age to be above 65 to qualify for the scheme.
Regards,
Blue
Equity release is a process to have income from the cash value of the house. These schemes are helpful to senior homeowners to convert some of the value of their homes into cash. Types include - rolled-up interest loan, home reversion scheme and home income plan.
The scheme is helpful to senior people who want to have some extra income or a lumpsum cash to serve any special needs. They own a home but a relatively low income.
The scheme can be used by old age people or retired persons to raise their income to meet some extra expense like home improvement or repair or in some other purpose.
The qualifying age for some schemes is 55, although many prefer your age to be above 65 to qualify for the scheme.
Regards,
Blue
Reverse mortgage is the more popular term for equity release. One of the type of the equity release product is reverse mortgage. The advantages of equity release are many with no need to worry of losing your home and the money from it can be used for any purpose.
If the property prices increase then there is opportunity for you to release additional equity in your home.
The amount that one can get depends upon his/her age, the value of the property and the underlying interest rate available.
Your aunt needs to do some shopping for the best deal.
Douglas
If the property prices increase then there is opportunity for you to release additional equity in your home.
The amount that one can get depends upon his/her age, the value of the property and the underlying interest rate available.
Your aunt needs to do some shopping for the best deal.
Douglas