At RM Mortgage Solutions we can refer you to an equity release specialist in Birmingham who will be able to provide advice and discuss your options.
An equity release home reversion plan allows you to sell all or part of your home to a reversion company in exchange for a cash lump sum. You are also able to live in your home for as long as you wish. If you don’t sell 100% of your property to the reversion company, then the percentage of the property you own can be a left as an inheritance to you loved ones.
Advantages of an Equity Release Home Reversion Plan
- The cash released can be spent on whatever you like.
- You are able to guarantee an inheritance.
- If the property increases in value, your estate will still benefit from this and so will the percentage of the property that you own.
- The older you are, the more money you will be able to release with an equity release reversion plan.
- You can typically raise a larger sum from your home with an equity release reversion plan than would be available with an equity release lifetime mortgage.
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Disadvantages of an Equity Release Home Reversion Plan
- You will no longer benefit from any future house price rises on the proportion of the property that you have sold.
- The amount you leave as an inheritance will be reduced.
- Your entitlement to state benefits may be affected.
- The home reversion company will buy your home at a discount to its current market value as they are giving you the absolute right to remain in your home for life, rent free.
- If you pass away soon after taking out the plan, you have effectively sold your property on the cheap. However, some plans have provisions in place so that you are protected.
- A home reversion plan cannot usually be reversed as you are selling part of your home.
Further information about a lifetime mortgage can be given to you over the phone or within the comfort of your own home if you live in or around the Birmingham area. Your adviser will be able to tell you which type of equity release scheme will work best for your individual circumstances, or whether it is in fact right for you at all.
Book an equity release appointment today.
Before you consider an equity release scheme, please carefully read Is equity release right for you?.