This website uses cookies. By closing this notification you agree to our use of cookies. You can update this at any time via your browser settings.
To learn more about how we use cookies please see our cookies policy.

What Is Equity Release?

Equity release allows individuals aged 55 and over to release money from the property they live in without having to make any monthly repayments.

Prospect Mortgage Services is located on the Isle of Wight – a beautiful island where many aspire to retire and enjoy the peace and tranquillity of a more rural lifestyle. Equity release can assist those who wish to free up capital from the equity held in their home to enjoy those retirement years to the full.

What are my options?

There are two types of equity release; Lifetime Mortgages and Home Reversion plans. Both of these are regulated by the Financial Conduct Authority. By using an equity release product, a home owner can draw a lump sum or regular smaller sums from the value of their home, while remaining in their home.

Equity release can play a crucial role in retirement funding. Many plans comply with the Equity Release Council product standards, providing flexibility and safeguards. These enable thousands of home owners every year to tap safely in to their housing wealth without having to worry about making monthly repayments.

What should I do if I am thinking of using Equity Release?

If you are thinking of taking out an equity release plan then:

  • Find out as much as you can about your options and weigh up the advantages and disadvantages fully before you decide if equity release is right for you.
  • A fully qualified financial adviser can help you to understand the steps involved and talk you through your options.
  • A qualified adviser will help you understand the effects Equity Release might have on your state benefits and tax and your obligations.
  • Talk it over with your family in advance to ensure you are choosing a plan to fit your needs.

Of course there are many benefits of equity release and, done correctly, equity release should have no impact on your tax position or your state benefits. Of course, each individual’s circumstances will need to be properly assessed.

Part of a customer’s choice will be over the type of plan required. In the modern equity release market there are a range of products to choose from, with new and innovative products being created regularly.  This means that whatever your equity release needs, there is likely to be an equity release plan available to meet them.

Why can you have confidence in Prospect?

To provide you with confidence in liaising with us regarding Equity Release advice Prospect Mortgage Services are members of the Equity Release Council

Equity Council Logo

Home reversion plans and lifetime mortgages are complex products. To understand the features and risks, ask for a personalised illustration. Your home may be repossessed if you do not keep up repayments on your mortgage. A lifetime mortgage is a loan secured against your home. Equity release will reduce the value of your estate and may affect your entitlement to means tested benefits. The levels, bases and reliefs from taxation are subject to individual circumstances.

Book an Appointment

Book an appointment