Archive for October, 2009
Who are the Best Equity Release Candidates?
The question, who are the best equity release candidates, is a difficult one to answer because there are so many reasons to want to take out an equity release plan. What was usually associated with cruise holidays and buying an extra car, is now associated with everything:
Helping family out through hard times
Renovating the house
Upgrading the car
Buying second homes nearer family
Taking trips to see loved ones
Paying off debts and mortgages
Or simply supplementing household income so meeting the bills is not a chore every month.
Whatever the reason, the best equity release candidates have some idea about what they need the money for.
If you are thinking about equity release, why not call up for a free, no-obligation chat on 0800 524 4853
Head of Pensions Policy Institute Predicts Equity Release Growth
In an address based at a seminar by the Pensions Policy Institute, Niki Cleal predicted that equity release was to grow significantly once more retirees were aware of the potential of unlocking the equity in their homes.
The idea was that whilst there remains a very large of equity tied up in the properties of over 55s, many were simply not aware of planning tools like equity release.
Ms Cleal stated:
“Income released from housing wealth can often complement other forms of income in retirement.”
As other, more traditional, methods of retirement finance have become more unstable, the demand is expected to increase. It might be that the ‘other forms of income retirement’ that Ms Cleal talks about are the ones that complement equity release, rather than the other way around.
If the current growth trend continues, it is expected that over 80% of retirees will shortly be owner-occupiers of homes, allowing for a much greater chance for more people to release equity from their homes.
It seems that recently, equity release is starting to catch people’s attention and it is being talked of more and more as a potentially integral part of retirement planning.
If you are thinking about using equity release to help fund your retirement, why not call up on 0800 524 4853 and find out what the latest interest rates are, how they apply to you and which plans you may be eligible for.
Alternatively click here to use our equity release calculator to find out whether you are eligible for the safest equity release plans.
“How do I release equity from my home?”
One of the often asked questions for those ‘house rich, cash poor’ people is “How do I release equity from my home?”
It is not quite as complicated as you might think.
There are quite simple and straightforward steps you need to take if you are looking for equity release.
First and foremost, you need to find out whether you are likely to be eligible for the equity release plans. This can be done using our equity release eligibility calculator found here.
If you are eligible for equity release, it is important to find out what interest rates apply to you and how much equity you would be able to release. Not to worry, our calculator found above will help you on your way with this.
Now that you have all the facts and figures, you can then make an informed decision about whether to carry on with the process. A little professional help would certainly be of use to you now. Again the calculator will help you with this too.
If you decide to go ahead, the professional help you receive from Independent Financial Advisers will enable you to search the market to find the plan that is just right for you.
Then comes the house valuations, and finally the completion - with the help of solicitor’s of your choice.
Alternatively, call 0800 524 4853 for a personalised helping hand.
Lord Myners view on equity release
This news blog has written before on Baroness Hollis’ pro-active stance on the uptake of the equity release market - a real tool in retirement planning. Further to the discussion, Lord Myners - the Treasury Minister - has further backed Baroness Hollis’ approach. Lord Myners claims that for those whose position typifies ‘house-rich, cash-poor’, equity release may well be an integral part of the strategy they use to finance their retirement years.
Lord Myners also went on to congratulate the equity release industry’s stance on self-regulation, notably SHIP equity release, stating that they have “developed a highly commendable code of practice” and stated that the Government should encourage the use of well-regulated equity release schemes.