Deciding on Your Future: Equity Release
A lot of people are looking for ways to have a comfortable retirement, and many think that equity release is the way to go. But what exactly is this option? Equity release is a form of home financing that allows homeowners aged 55 or older with mortgage-free homes to access their property’s value in order to supplement income and enjoy an improved quality of life. It sounds too good to be true, but there are some drawbacks as well.
First, equity release can come with a hefty price tag. Second, equity release is not a good option for people who are approaching retirement because they may need their assets to supplement their income in the future. But for those who want to make one last purchase without having to worry about other expenses such as taxes and interest increases, then this type of financing could be right up your alley!
Possibilities that come with equity release:
Equity Release provides retirees with another source of funding so that more resources can go into enjoying life now. Unlike traditional loans or credit cards, you won’t have any bills hanging over your head after paying off what was spent on items like vacations and home renovations. You will also avoid putting yourself at risk for bankruptcy by getting rid of debt. Equity Release is flexible, meaning that you don’t need to use the funds all at once. You can unlock them in increments of up to 25% or more depending on what your home’s worth and how much equity you want access to. As long as there are no other mortgages attached to your property, this option will work out really well for you!