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Financial Planning Advice

Equity Release

What is Equity Release?

If you are in your later years you might have paid a substantial amount off your mortgage, or be close to paying it off. The value of your home may have risen considerably since you bought it, but you might still be short of money to spend, invest or even pay your standard mortgage off, or you may wish to release capital to help the next generation.

Equity Release is a way of raising money from the value of your home.

When the “equity” value in a home is released on the householder trading down to a smaller property, the cash which is realised could be applied to provide additional income, to establish a trust fund, or to fund some major item of expenditure. But the same options can be available even without the property being sold, if the householder uses an “Equity Release” scheme.

To understand the features and risks, please ask for a personalised illustration.

Equity release isn’t right for everyone, there are positives and negatives, and careful consideration is vital to ensure it is a suitable option for your individual circumstances.

Equity release will reduce the value of your estate and can affect your eligibility for means tested benefits.




Estate Tax Planning

Such a scheme can present further tax-planning opportunities, because the value of the equity which is released is regarded as a debt against the estate of the householder which reduces the value of the estate for tax purposes. Consequently, equity release may be of value to clients who do not require additional income, but can regard this as an estate planning tool.

The Financial Conduct Authority does not regulate on Estate Planning.




Equity Release Plans

If you take out a Lifetime Mortgage, you can choose to receive your funds in a lump sum or in smaller, regular amounts.

We can look at all your options for releasing a part of the value of your home in return for a cash lump sum, or income to spend as you wish. There are advantages and disadvantages in both types of plans so it is important for you to find out as much as you can, to get qualified advice and, if possible, to talk it over with your family to ensure you choose the best plan to fit your needs.

Let us offer you a free initial consultation to discuss your financial objectives. We can explore the ways we may be able to help you and offer solutions which may meet your needs.

Equity release will reduce the value of your estate and can affect your eligibility for means tested benefits.