Our Advice Service on Equity Release
Equity release gives you access to some of the cash that's tied up in your home, without the stress of moving. You can release a tax-free lump sum or you could opt for a plan which will allow you to release funds in stages after an initial lump sum.
You can spend the cash however you wish. This money could boost your retirement finances - whether that means home improvements, pay for those one-off expenses such as buying a car or caravan, the holiday of a lifetime or help for your family and friends.
Lifetime mortgages are increasingly offering homeowners a common sense, tax-efficient way to:
- Improve day-to-day income to keep enjoying a fitter, healthier more active lifestyle
- Pay off mortgages, loans, credit cards etc.
- Make home or garden improvements
- Help loved ones via a living inheritance, contribute to education costs or a leg up onto the property ladder
- Stay at home for longer or pay for care at home
- Secure the ownership of property following a divorce
- Move to a more expensive property in retirement ("upselling")
- Buying a holiday, car or other key piece of expenditure
A professional equity release adviser can help identify what might be the most suitable deal available to you, because finding the most appropriate type of equity release plan and the most competitive deals, from the wide range to choose from, can be tricky. Certainly at Chestnut we have a wealth of experience in giving our clients advice on equity release.
Trying to understand what the full range of deals are, never mind spending hours talking about and applying for different deals with different providers, is massively frustrating.
So our role is to advise on potential solutions that are right for your unique needs, and if you want us to help you with the paperwork, and negotiation with providers, then we are delighted to!
We visit you, at your convenience, to talk through the types and options you have, because doing equity release may not be your best option!
Equity release used to have a deservedly poor reputation. Now there’s lots to be reassured about; the industry is regulated by the Financial Conduct Authority (FCA), we only advise on equity release providers who are members of the Equity Release Council, you will use a solicitor of your choice to make the legal arrangements, information is always given to enable you to make a full and freely informed choice, all plans are backed by a ‘no negative equity’ guarantee so you will never owe more than the property is worth, no matter what happens to house prices or the size of the debt, and you will have the right to occupy their property for the rest of your life if you choose to do so (we can also discuss moving and care home options).
Before you think about equity release, you should also consider your other options, such as moving to a smaller property or one of a lower value will give you the maximum value from your home.
You may also have other savings and assets that could help fund your retirement.
Wanting to Move But Not Quite Affordable? This was Tom and Vera’s story...
Tom and Vera had both recently retired. They wanted to relocate from Lincolnshire to be nearer their daughter, who lives in Surrey. Everyone, including the grandchildren looked forward to spending more time together in retirement. We were asked to advise on how they might finance the move.
Their Lincolnshire home was valued at £327,000 and had found a home in Surrey on the market for £429,000. They had £10,000 in savings and both released the 25% tax free lump sum from their pension pots to a total value of £25,000. With the sale of their home, savings and lump sum from their pensions, they have a total amount of £362,000. So that left them £67,000 short of the amount needed to purchase their new home.
Tom and Vera were able to be advised, with the agreement of the equity release provider concerned, to use the £362,000 on the new home, topped up by an equity release plan of £67,000 to cover the remaining balance.
Tom and Vera had one further concern, they wanted to be able to leave an inheritance for their daughter. We were able to advise in their case that they could protect roughly 50% of the equity release amount available; this means that they can protect 50% of the future value of their home to leave as an inheritance.
Wanting to Extend and Refurbish Your Home? This was Cathy’s story...
Cathy recently asked for our advice to help her pay off her mortgage, extend her kitchen, install a wet-room, and have a new garage built.
By looking carefully at Cathy’s circumstances, we were able to advise on the right deal, raising just enough money to cover the works but not using money unnecessarily. Our expertise to approach a number of potential lenders enabled a fantastic solution to be recommended, despite Cathy being classified as living near commercial premises by the first equity release provider.
Want to Pay Off Debts? This was David’s story...
Facing debts is very difficult when approaching our elderly years. David approached us to help advise on his second equity release, to pay off some additional loans that had been taken out over the last few years. We were able to reassess David’s situation and give the best advice.
Please Get In Touch
Please feel free to look through our services, listed under "What We Do" above. We welcome calls (our number is 01522 788887) and emails (firstname.lastname@example.org) to see if we can help you. Or please complete this contact form and we will get back to you as soon as possible!
Equity release could reduce your eligibility to means-tested benefits and could affect your tax position.
Your home may be repossessed if you do not keep up repayments on your mortgage.