Increasingly, those nearing or already in retirement may need to access the equity in their home in order to meet their financial objectives. We can help and advise on lifetime and retirement mortgages.
We are authorised to advise on all types of equity release product – although most common is the lifetime mortgage – which as the name suggests, is a long lasting and significant commitment.
Many find the topic of equity release a daunting one, although in the right circumstances, such products can help constitute a part of your financial planning and security for years to come. At Bigmore Associates, we are experienced in the area and well placed to offer knowledgeable and responsible advice on equity release, and whether it is right for you.
Here are some key features of a typical lifetime mortgage
- Interest is rolled up and added to the overall debt, meaning there is no need to make monthly payments, although you can usually make payments of up to 10 percent per annum should you wish to
- Because no monthly payments need to be made, the mortgage is not underwritten on personal affordability, but rather based solely on the value of your home
- The interest rate is fixed at a given level for life
- Under a lifetime mortgage, you still own your home and will continue to do so until you either die or enter long term care
- You can often withdraw a lump sum at outset, with the option of additional drawdown to be taken in future
- The cash raised from equity release is tax free
- Lifetime mortgages are usually available to those aged 55 or over.
Products are authorised and regulated by the Financial Conduct Authority (FCA).