What is Equity Release/Home Reversion?
Equity Release and Home Reversion Plans are an opportunity for you to free up and access the money tied up in your property. A Home Reversion Plan means you can release cash from your property without having to move out, downsize or take out a potentially expensive new mortgage.
If you, or your partner, are over 50 and looking for a secure and flexible plan, then we may be able to help you.
Why would Equity Release or Home Reversion appeal to me?
Products like Equity Release and Home Reversion may be appealing for a number of reasons - below is just an example of the more common reasons why people use equity release:
- You are unable to find a new mortgage with terms or costs acceptable to you
- Your current mortgage payments are a struggle, and the prospect of rising interest rates concerns you
- Retirement age is approaching and you still have a large mortgage debt to be paid
- You are already retired and your debts are beginning to get the better of you
Whatever the reason, whether it be a yearning for once in lifetime holiday, a desire to stop struggling with debt, or simply to enjoy the benefits of your years of hard work, a plan like this could well be just what you are after.
How does it work and how does it affect me?
In simple terms, these Home Reversion plans allow you to stay in your home for life and still release a substantial, and tax free, cash lump sum. There are two Home Reversion options available through Vesta Money. The rental option involves selling your home and renting it back at a discounted rate, offering a higher cash sum upfront. Or if you prefer, the rent-free option offers a smaller cash sum, but means you can release the equity from your home and continue to live there rent-free for life.
Key Benefits of Home Reversion
- A tax free cash lump sum
- Guaranteed tenure – the right to remain in your home for the rest of your lives
- You are no longer at the mercy of variable loan or mortgage interest rates
- Predictable costs - should you choose the rental option, you will always know what you are expected to pay
- For freehold properties, the reversion provider takes over responsibility for buildings insurance and all external maintenance
Things to bear in mind
- Your tax position may alter
- Your estate may be reduced
- Entitlement to any means tested benefits could be affected
- Independent legal advice should be sought – help can be provided with this
Just think what a tax-free cash lump sum could mean to you!
Simply complete the initial online enquiry form or call on the number shown and let us introduce you to a product that could meet your needs.
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