Are you nearing retirement? Do you want to have a trouble and hassle free retirement? If yes, then it is advisable for you to consider opting for an equity release scheme and how the ERSA (Equity Release Solicitors Alliance) can help.

With the help of equity release, you can release the money stored in your property without having to go through lots of paperwork. Better still, finding an independent equity release adviser who has the use of an equity release calculator will be able to assess your requirements and the maximum amount you can borrow. If you are looking for more information in terms of equity release, refer to the tips mentioned below.

What is equity release?
Contrary to the common misconception, equity release schemes are not difficult to understand. This is a simple scheme with the sole intention of helping OAPs (Old Age Pensioners). With the help of equity release schemes, you can release money that is stored in your property without having to move out. In essence, an equity release mortgage is as the name says on the tin: a mortgage with NO monthly repayments. You release tax free cash, enjoy the benefits thereof and the equity release plan is only repaid once you have died or moved into long term care. There are various formats of these products designed to appeal to different retirement objectives. Conduct some research first before enlisting the services of your financial adviser.

It also has to be mentioned that there are loan free, no repayment options under home reversion equity release. This is one way to get away from a loan and gain funds you need. Home reversion is a partial or full home sale with a lifetime tenancy agreement allowing you to live rent free. It is an alternative to having a mortgage with an eventual repayment and interest.

Do I require professional advice when it comes to equity release?
If you are not well versed with legal documentation, it is advisable to opt for professional advice. However, as mentioned earlier, equity release schemes are not difficult to understand. With the help of an adviser, you can be sure that the process is completed smoothly and without any hassle. It is also worth noting that equity release advisers can explain the entire process in detail and also in simple and understandable terms. If speed of completion is also an important factor then an experienced adviser will also have an equity release solicitor they liaise with. Preferably they would be a member of ERSA (Equity Release Solicitors Alliance) who are the trade body of solicitors aiming to improve the quality of your equity release application.

Why opt for equity release schemes?
If you do not have a fixed source of income during your retirement and monetary budget is tight, then it may be advisable to opt for equity release. The cash that you receive from the equity release scheme can be spent in any way you wish. This, for many, provides them with financial freedom at a time when income has fallen, yet expenditures may have risen. As there are no monthly payments to make then it doesn’t affect your budget, therefore you can be rest assured that you cannot fall into arrears with equity release schemes, thus removing any concerns over possible repossession.

With the aforementioned protection at all levels of the equity release process, you can be rest assured that you are in safe hands and have trust in equity release professionals.

What are the qualifications for equity release?
You probably understand that this is for retirees, but do you have to be of a certain age? The answer is yes for lifetime mortgages you need to be 55 years of age at least. If you have a partnership in which two people own the home, then you have to use the youngest homeowner’s age to qualify for lifetime mortgages. For home reversion you need to be 65 years of age for the youngest homeowner. Additionally, there are qualifications for the home in which it has to have a value of at least £60,000. Some lenders require more value in a home before they will release equity. You can also look at your health as a qualification as this determines your life expectancy and thus the amount the company is willing to lend or buy the home for.

For further advice and a free consultation, we are the equity release in Bristol specialists and are available on 0800 321 3156. Always make sure help is through a company who is a member of the ERSA, like our Bristol specialists.