When considering releasing equity from your property you should consider home reversions. With a home reversion plan you sell a portion or all of your property to a home reversion scheme provider. The home reversion plan provider will allow you to live in the property for the rest of your life and the home reversion scheme provider is repaid when the property is sold on death or abandoning the property to move into care. Home reversions are not as popular as lifetime mortgages because there is a stigma around selling the family home.
You should always take independent financial advice before considering taking out any home reversion or equity release mortgage. When considering equity release schemes it is generally a good idea to search the market for information about the different products and then use an equity release calculator to find out just how much you could release from your property. There are now more flexible equity release uk products from the providers. These products allow you to drawdown the money in stages.
Many people who are considering equity release are using their retirement investments or thier life savings to help them manage income in retirement. One of the problems with this is that unless your money is in equity investments with current interest rates you are unlikely to get any growth on the invested money. Equity Release and home reversions can help you with your income requirements.