News & events

Press Releases

Sort by:

Press Office

For all media enquiries contact Edwards Harvey PR on 01622 604600 or email enquiries@edwardsharvey.com

You are here: Home > News & events > Press Releases > Equity Release Could Be An Option For Beleagured Savers

Equity Release Could Be An Option For Beleagured Savers

03 March 2009

With interest on savings accounts at a record low, equity release could be an attractive option, says Kent lawyer Ben Mowll.

But Ben, private client partner at leading regional law firm Furley Page, warns: “As house prices fall so does the equity, so timing is crucial. If you feel you cannot wait for any future increase in the value of your home you need to consider very carefully the various schemes available.”

Equity release schemes, whereby money is released from your home while still allowing you to live in it, are a lot more sophisticated and better regulated than their 1980s counterparts.

The most common are:

  • Home Reversion which involves the sale of all or part of your home to a third party in return for regular income and/or a cash lump sum – and you continue to live in your home for as long as you wish
  • Lifetime Mortgage where you take out a secured loan on your home and which is repaid on the sale when you go into long term care or on your death

Although in theory these schemes are available to anyone over the age of 55, it is worth remembering that the cash amount released from a home of the same value is very different for someone aged 55 than someone aged 75, says Ben.

The first step is to look for schemes that belong to the Safe Home Income Plan protection scheme which include a ‘no negative equity’ guarantee meaning you will never owe more than the value of your home. It is also advisable to let your relatives know what you are proposing to do.

For further information contact: Ben Mowll on 01227 763939.

‹ Back

Quick contact

Furley Page Solicitors in Kent, London, Canterbury, Chatham & Whitstable
Get in touch on 0845 603 10 57