Equity release in Sheffield is designed for homeowners who are 55 and over. It can allow you to access the built-up equity within your home. One of the main appeals of equity release is the option to maintain full homeownership whilst releasing funds from your home.
With most equity release mortgage options in Sheffield, users have plenty of choices regarding withdrawing funds. You can either opt for a one-time lump sum or decide on smaller amounts to be periodically released. The option that you pick depends on your unique financial needs.
However, remember that these agreements come with additional interest, which can increase over time. Therefore, consulting with an experienced mortgage advisor from Sheffield before taking up an Equity Release is strongly recommended.
An equity release mortgage advisor in Sheffield can help in making informed decisions, making sure that equity release in Sheffield is best suited to your individual monetary goals and mortgage objectives.
What is Equity Release in Sheffield?
Equity release in Sheffield is a product made for homeowners aged 55 and upwards. To be eligible, the home must serve as your primary residence and the value of the property should be at least £70,000. In a situation where the home is shared, the co-owner who is the youngest must be 55 or over to be eligible for equity release in Sheffield.
The amount you can release tax-free through equity release is dependent on various factors, including your age, overall health, and the market value of your home. Equity release often comes in the form of two types: lifetime mortgage and home reversion.
The first option is a lifetime mortgage, which your mortgage advisor in Sheffield is more likely to recommend. This is due to its flexibility and beneficial conditions. The other option, a home reversion plan, requires you to sell a part of your property so most people tend to avoid this approach is possible.
You must keep in mind that a comprehensive evaluation of both options is necessary; furthermore, you should seek professional advice in Sheffield before making a decision.
Lifetime Mortgages in Sheffield
A common method of accessing equity release is through a lifetime mortgage in Sheffield. By selecting a lifetime mortgage in Sheffield, you retain full ownership of your home.
What sets this arrangement apart is its flexibility; permitting you to opt for monthly interest repayments (just like a regular mortgage) or accumulating the interest over time without making any payments.
This is where getting mortgage advice in Sheffield is crucial. At times, clients have mistakenly taken on equity release products that are not beneficial to their situation and they end up losing money. You lose the consumer protection you have with a mortgage advisor in Sheffield when you shop online.
Home Reversion Plans in Sheffield
A lesser-known type of equity release is the home reversion plan. With this product, you sell a part or all of your property at a value lower than its market price, in exchange for a tax-free lump sum.
Bear in mind that home reversion plans are not typically the first choice for most homeowners. Nevertheless, they may be an apt choice for certain individuals with specific circumstances and needs.
Choosing Equity Release in Sheffield
Here at Sheffieldmoneyman, we can help with a wide array of mortgage products for later-life purposes. With options such as a standard mortgage potentially being obtainable till the age of 85.
We have diverse and specialised retirement interest-only mortgages, RIOs, and lifetime mortgages that include a variety of equity release plans.
Equity release plans apply only to one’s primary residence and not to secondary homes or buy to let properties. For such other properties, normal mortgage alternatives may be more appropriate.
The Application Process
To kick-start the process, call us or book a free appointment online. This initial consultation will help us understand your needs better and tailor our advice accordingly.
Once we have an idea of what you are trying to achieve, we can begin looking at your options. If you are happy to continue with us and the solution we present to you, we can begin your application process.
Date Last Edited: February 20, 2024