Frequently Asked Questions
Equity release can be complicated process. That’s why it’s essential to have all the information at hand so you can make a considered decision.
Click here to ask a specific question about equity release.
Equity Release gives you the opportunity to release funds from your property whilst continuing to live there.
Ask your Introducer what options are open to you and consider which would best suit your individual circumstances.
To take out an Equity Release scheme, you must be:
- Aged 55 – 95 (if it is a joint application, both people must be in this age range)
- Own a home worth £50,000+
- Live in England and Wales.
Every case is different but usually it takes between four and eight weeks from the date of your application to the day you receive your money.
You have a choice about how you receive your money. You can either receive it in one lump sum, or in a series of drawdown payments from an agreed cash reserve. Please speak to your Introducer for advice about which option is best for you.
An Equity Release loan is usually paid back when you die or go into long term residential care. This is why we recommend discussing, or informing, your loved ones about it as it will impact on their inheritance.
Yes you can, although most equity release plans will carry a clause stipulating that repaying the loan early may result in you incurring early repayment charges.
Usually yes, although this will depend on the amount of your existing mortgage , the value of the property, your age and other factors. For this reason, if you anticipate that you will require additional funds in the future you should discuss this with your Introducer prior to agreeing on a plan.
Many of our clients undertake an equity release plan as a means of extending the time they can live in their own home. Where physical or mental incapacity begins to impact on a person’s ability to manage their own affairs, it is extremely beneficial that a family member or close friend is appointed to act for you under a registered Lasting Power of Attorney (LPA). An LPA will enable your attorney to make further withdrawals from your existing plan, or even take out a further plan to support your continued occupation of your home. Goldsmith Williams can advise you further on the benefits of a Lasting Power of Attorney and produce and register the document for you.
No, an Equity Release plan does not stop you from moving house. However, it can add complications to the move as there are certain conditions and criteria your new property must meet in order to transfer the loan. For example: if your new property costs less then you may have to repay some of the loan.
A remaining partner can continue to live in the property provided you have taken out a joint plan.
As long as the Equity Release plan you take out is offered by a member of Safe Home Income Plans (SHIP) then it will have a no negative equity guarantee. This means that even if the value of your property falls below the amount owed, you will never owe more than the value of your property.
I found Goldsmith Williams overall a very professional and highly motivated team, which helped to make my house transaction very easy and stressless. Highly recommend!
Miss Wood - 9/10 - Buy to Let