Our retired citizens, as we age, are beginning to be concerned about the pensions they have paid for and the changing goalposts of the state pension despite the triple locking. The cost of living is rising and pensions are not keeping up with the modern costs. The cost of care for the elderly is also increasing as dementia and Parkinson’s disease become more prevalent. Alternatives are being sought in order to have extra money for the later years.

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Equity release allows you to generate income from your home. This is a way to generate income from your home. It’s essentially a new mortgage. It is important to carefully examine each option and determine which one suits you best. You will most likely still be the owner of your home, not the lender. Or you may own it in its entirety with the lender holding a small portion. Remember that the value of your house determines the amount you are able to borrow. If your home is worth £100k, and you borrow 25k you will have a loan-to-value of 25%. For more information from an Equity Release Solicitor, visit https://www.tivoli.legal/

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Equity release schemes are usually a way to keep your home, but only repay the interest each month. In some cases you might not pay anything at all. The amount borrowed is still due, but you can repay it by selling your home. The amount borrowed will be deducted if you sell your property, go into full-time care or die. It will reduce the amount of inheritance you can leave to your children, and they may not receive anything at all if the sale price is low. This is something that you should not be worried about. It’s a risk the lender must take.