Is it time to reconsider equity release?

Equity release is a way for homeowners aged 55 or over to access tax-free cash from their home’s value, enabling them to meet their needs later in life for a more comfortable retirement.

Previously, this was considered something to avoid at all costs, but this is no longer the case, with equity release being a useful tool when other options have been exhausted.

Even MoneySavingExpert, Martin Lewis agrees. In a statement, he said:

“The system of equity release has got better over recent years. There’s more flexibility in what you can do and it has improved.”

Negative perceptions of equity release previously amounted as a result of how the process used to be, but things have changed significantly since then and there’s more protection in place in the form of the Equity Release Council (ERC). The ERC exists to ensure that lenders and advisers provide the highest possible standards to borrowers, offering more protection than in previous years.

The most popular form of equity release is a lifetime mortgage, where a loan is secured against the home. The individual can then remain in their home for as long as they wish, until they either pass away or move into permanent care.

Although equity release has improved over the years, Martin Lewis stressed that it is still crucial for anyone considering equity release to seek professional advice first. Individuals need to understand the pros, cons and implications of equity release and then decide if it’s the right route for them - and this can only be done by consulting with experts.

Here at Wilkin Chapman, we understand the importance of specialist equity release advice. Our qualified professionals will provide essential support and advice throughout the process, offering assurance and comfort so that you can be confident that your decision is the right one before any formal agreement is made.

Are you considering taking out an equity release? Get in touch with our experts.