Town and Country Financial Advisers can guide you through the process of buying Equity Release, which includes lifetime mortgages and home reversion schemes.
Both schemes allow you to live in your home until the last one of you dies or goes into long term care. The property is then sold.
With lifetime mortgages there is a guarantee of no negative equity, so even if the balance on the mortgage exceeds the sale price of your home there is no liability to you or your estate. If the balance on the mortgage is lower than the sale price then the surplus (less any sale fees etc) is payable to you or your estate.
With a home reversion scheme the property is sold and depending on the initial percentage you sold to the reversion company, there may be some surplus for you or your estate. You may take an initial lump sum when you apply and there are options to take additional funds in the future.
We have access to the latest Equity Release products which include schemes where you have the option to roll up the monthly interest or make monthly payments of some or all of the interest.
Some lenders now offer the facility to make penalty free partial overpayments of capital. Some companies provide a retirement mortgage interest only option, which is particularly popular with clients over 55 who currently have an interest only mortgage on their home and have been advised by their existing lender that the mortgage term is about to end.