￼Why Is Equity Release Supermarket So Popular: Everything You Need to Know
This is a collaborative post
Due to recent increases in house prices and sluggish wage growth, you may find it increasingly tough to climb the property ladder. However, the money you have invested in your existing property over the years can be released.
Equity release works as a loan secured against your property with a fixed interest rate that can be taken out as a lump sum or spread out over several years using a drawdown facility.
As an expert in the equity release field, John Lawson of SovereignBoss explains why equity release supermarket is so popular.
An equity release mortgage is a loan plus interest that is repaid to the lender when the homeowner dies or enters long-term care.
Lifetime mortgages and home reversion schemes are two options for equity release. However, lifetime mortgages are the most popular way of releasing equity.
A lifetime mortgage usually has a set interest rate and does not require frequent payments, unlike a standard mortgage (unless you want to). If you don’t make any payments, interest is imposed on both the original loan amount and the interest accrued.
Selling all or a portion of your home, below market value, to an equity release company is known as a home reversion plan. What’s great is that despite the sale, you still have the right to stay in your home, rent-free, for the rest of your life.
Equity release is designed for older folks. So, when you reach the age of 55, you’re eligible for equity release if you own a property in the United Kingdom worth at least £70,000 and have little to no mortgage on it.
Equity Release Supermarket is a national independent equity release specialist that provides the best impartial financial advice, access plans from the whole marketplace and recommends the best equity release.
Equity Release Supermarket offers you the following:
- An online dashboard and comparison tool provides complete transparency.
- Unbiased guidance and access to an online comparison tool that allows you to evaluate deals throughout the whole market.
- They have a client app that allows you to stay updated, should you require further information.
An Equity Release Supermarket advisor can assist in locating lifetime mortgages with the best interest rates, costs, and package features.
For example, If you believe you may need more money in the future, a lifetime mortgage with a reserve fund that you can access later will lower your overall interest expenses.
What’s more, your advisor will help you find the right lender that’s an Equity Release Council member. Council members are regulated and come with a promise of no negative equity. This means you’ll never owe more on your home than it’s worth.
Lastly, a good advisor will help you determine a forecast of future debt.
If you’re looking at all the equity release schemes available on the market, consider talking to an advisor to help you compare the equity release rates and product features.
Equity release calculators are very popular and accurate, but they often don’t give enough cost information.
Equity Release Supermarket’s service gives you impartial advice and access to an online comparison tool, enabling you to assess deals available across the whole market.