Equity release allows you to release tax-free cash tied up in your home.
A ‘lifetime mortgage’ is by far the most popular product in the equity release market as it enables you to continue to own 100% of your home whilst also releasing a lump sum of tax-free cash from the value of your property. There is no requirement to make regular monthly repayments as the equity that you release, plus any fixed interest accrued, is repaid when your property is sold. This happens when either you or your partner die, move into long-term care or permanently leave the property without purchasing another home.
Clear Planning works with the leading lenders across the whole of the equity release market which enables us to find the most suitable lifetime mortgage plans for each and every one of our customers whilst meeting their individual lending requirements.
This is similar to the standard lifetime mortgage, however, with the drawdown lifetime mortgage, you can access your money in stages as opposed to receiving a one-off lump sum. This allows you to access the money as and when it suits you (subject to minimum amounts). Furthermore, you only pay interest on the cash that you have taken which can make these plans more cost-effective.