The lack of sufficient pension provision has further created a problem to older citizens over the past few years. Thankfully, several retirement schemes have been to help such individuals. Equity release schemes in particular are set to rise in popularity as older citizens seek to use the value in their homes to cover the financial shortfall.
The increasing popularity of equity release schemes
Some pensioners are turning towards equity releases schemes as they consider the prospect of trying to increase their standard of living. Such schemes also help them maintain the quality of life, post-retirement. From feedback with clients, it is becoming increasingly apparent that children want their parents to lead a prosperous & enjoyable lifestyle.
The following is a straightforward guide for those individuals who want to opt for equity release:
Firstly understand that equity release is the term used to cover financial products which are used to release equity in the home. However, you will not have to meet any monthly payments in order to be entitled to apply for this particular scheme. Equity release schemes are divided into two main categories namely, lifetime mortgages and home reversion plans.
Lifetime mortgage schemes are one of the most common equity products. They are also popular among the older citizens as they provide a steady supply of cash to them. The cash might be given on the basis of a monthly instalment or lump sum.
Some of the superior advantages of equity release schemes are as follows:
- No monthly payments
- Fixed rate of interest for life
- A no negative equity guarantee
However, keep in mind that equity release is not the final solution for cash-flow problems. Be sure to consult an equity release advisor before arriving at a decision.
All Equity Release Supermarket financial advisers are fully qualified to give independent equity release advice.
Please call freephone 0800 678 5159 or visit the market leading equity release website at firstname.lastname@example.org.