Equity Release

High costs of living and demand for care are both major challenges facing the retired generation. Equity release is a financial solution that allows homeowners to unlock the value tied up in their property and convert it into a cash lump sum or regular income. This can be particularly beneficial for those looking to supplement their retirement income, fund home improvements, or provide financial assistance to family members without having to sell their home.

Most providers will only accept people over the age of 55 and there are two types of equity release to choose from:

Lifetime Mortgages

Lifetime mortgages enable you to release equity from your home, which makes them useful if you’re planning for your retirement, or would like to financially help a family member.

This involves taking a loan secured against your home. The loan amount depends on the value of your property and can be received either as a lump sum or in monthly installments. Importantly, you retain ownership and can still live in your home, and the loan, along with any accrued interest, is repaid when the property is sold, usually when the last borrower dies or moves into long-term care.

Home Reversions (known also as a Reverse Mortgage)

This option allows you to sell part or all of your home to an equity release provider. In return, you receive a lump sum or regular payments and retain the right to live in the property, rent-free, until the last borrower dies or moves into long-term care. Ownership of the property, or the sold portion, transfers to the equity release provider.

Understanding equity release can be confusing, which is why getting specialised legal advice is so important. This ensures that you fully understand the plan and that it’s customised to your needs.

Here’s how Laceys can help:

Expert Advice: We will provide clear and detailed explanations of the various equity release schemes available, helping you understand the implications, benefits, and potential drawbacks of each option, ensuring you make a well-informed decision with confidence.

Legal Documentation: Handling all the necessary legal paperwork can be overwhelming, but we take care of everything, from reviewing documents to completing the forms required by equity release providers.

Liaison with Providers: We will communicate with the equity release provider and any current mortgage lenders on your behalf. Our clear communication ensures a smooth process and addresses any issues, giving you peace of mind throughout.

Protection of Interests: Our main duty is to protect you. We check the terms from the equity release provider to make sure there are no hidden costs or unfair conditions.

At Laceys, we know that equity release is a big financial decision. Our goal is to make this process as easy and stress-free as possible for you. Our experienced team will guide you step-by-step, ensuring your plan fits your needs perfectly and is managed with complete professionalism.

If you’re considering equity release and need expert legal advice, please contact John Munro at j.munro@laceyssolicitors.co.uk or call 01202 377839 to get started.