22 ADVERTISING SUPPLEMENTADVERTISING SUPPLEMENT
Imagine receiving a lump sum of
tax-free cash to spend how you
wish, well equity release can provide
you with that opportunity. The only
caveat is that you must repay any
outstanding mortgage that you may
have. According to leading equity
release broker Age Partnership**, here
are some of the most popular uses...CLEARING DEBTS
This is the primary reason
that people release cash from their
home. Clearing any debts that you
may have can free up money to
enjoy once you retire.HOME AND GARDEN
IMPROVEMENTS
The second most popular use of
equity release is to carry out home
improvements. After all, once you
retire you will have more time than
ever to enjoy your home.NEW CAR
Buying a new car outright can bring
great peace of mind as it does
away with fears of problems and
unexpected expenses.GIFTS TO FAMILY
More and more of us are releasing
money from their homes to give
a gift to their loved ones.Mail Finance Services Limited is a group company of Associated Newspapers Limited and an appointed representative of Age Partnership Limited, 2200 Century Way, Thorpe Park, Leeds LS15 8ZB. Company registered in England and Wales No 5265969. VAT registration number 162 9355 92.
Age Partnership Ltd is authorised and regulated by the Financial Conduct Authority. FCA registered number 425432.
Equity release looks like it’s a retirement
finance solution that’s here to stay, with the
Equity Release Council reporting that in the
first three months of 2019 alone, more than
£930m of housing wealth was unlocked by
UK homeowners aged 55 and older.For those people who took out an interest-
only mortgage in years gone by, equity
release could provide the perfect vehicle for
repaying the original loan.For some, equity release can still sound
a little daunting, and it’s certainly not a
financial solution that’s right for everyone,
which is why you should always seek
independent specialist advice.If you’re thinking about equity release but
don’t know where to turn for advice, read
our step-by-step guide.Step 1
Have an understanding of what you would
like the money for. The lowest amount
that you can release is £10,000 and the
maximum amount depends on the age of
the youngest homeowner and the value
of your property. The absolute maximum
that anyone could release is 55% of their
property value. Once any outstanding
mortgage has been repaid, the money
that you release is yours to spend
as you wish.Step 2
Contact a specialist broker who is
qualified to offer equity release advice.
Some advisers are tied to particular
products, but through the Mail Finance
Equity Release Service you will access
advice from the whole of the market.Step 3
Organise a quotation to discuss your
borrowing needs. Through the Mail
Finance Equity Release Service you will
be provided with a quote free of charge
and without any obligation on you to
proceed. Only if you then choose to
proceed and your case completes would
a fee of 1.95% of the amount released
be payable (minimum £1,495).Step 4
Your adviser will help you understand all
your options. They will also ask you to
consider alternative methods for accessing
the money that you’re looking for, such as
downsizing to a smaller property.How does it work?
The rise in popularity of equity release
means that there are now more plans on
the market than ever before, rising
from 58 in 2016 to 221 in 2019.There are now plans that allow you to pay
off some of the interest each month, and
you can choose the percentage that suits
you. By paying a percentage of the interest
you can reduce the amount of debt that is
being rolled up.There are also plans that allow you to
safeguard a percentage of your property
value so that you can pass this on to your
loved ones.You may also be concerned about passing
on debt to your family, but equity release
plans come with a no negative equity
guarantee which means that you can
never pass on the debt to your estate,
providing the property is sold for a
reasonable amount.The importance of expert,
independent advice
As part of the free equity release quotation,
your adviser will provide you with a
personalised illustration which outlines
the features and risks involved. It’s the
adviser’s job to ensure that you’re fully
informed about all aspects of equity release
including the effect it will have on the
amount of inheritance you can leave
and if your entitlement to means-tested
benefits could be affected either now
or in the future. The adviser, will alsoIf you’re thinking about equity
release but don’t know where
to turn for advice, read our
step-by-step guide.
Not sure whether
equity release
is right for you?
Popular uses of
equity release
Customer Testimonials: John and Jan
John, a retired military man from
Wiltshire, had worked hard all his life
and was keen to remove any potential
worries about money so that he and his
wife Jan could enjoy their retirement.‘We get a reasonable income from our
pensions but much of our wealth is
in our home, which is all paid up. We
CAN AffORD NICE THINGS LIKE HOLIDAYS BUT
we have to save hard and nothing is
GUARANTEED. WE DECIDED EQUITY RELEASEWOULD MAKE OUR LIVES EASIER SO WE COULD
ENJOY OUR TIME MORE,’ John explains.The couple had read about equity release
in a newspaper and always had it in the
back of their minds that they might do it
one day.‘WE THOUGHT WHY LEAVE IT ALL BEHIND WHEN
WE CAN HAVE IT NOW AND ENJOY IT? WE TOLD
OUR CHILDREN, SO THEY KNEW WHAT WE WERE
DOING, AND THEY WERE VERY HAPPY FOR US
TO DO IT,’ John continues.After taking the decision to go ahead
with equity release, John and Jan are now
looking forward to a week’s holiday in the
Algarve, Portugal.‘WE’RE VERY HAPPY. LIFE WILL BE
COMFORTABLE FOR US FROM HERE ON,’ John
says. ‘And even after we are gone and
the debt is repaid there should still be a
nice, substantial sum for our children
— which is something we never had,
GROWING UP,’ he adds.FOR MORE INFORMATION
ON EQUITY RELEASE
& to request your FREE guide
0844 571 0808
mailfinance.co.uk/
ERguide
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