Equity Release Slough - Lifetime Mortgage Near Me

Lifetime Mortgage & General Equity Release Advice in Slough
Reviewed by Tom Philips

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Equity Release Slough & Near Slough

Equity release Slough is a really popular way of gaining access to the equity in your property.

Most people think that when you opt for an equity release plan you have to move out of your house at some point.

However, the truth is far from this. In fact, by opting for equity release in Slough you are able to stay living in your house.

An equity release scheme is another form of a loan. However, the great thing about an equity release loan is that you do not have to repay the loan until after you pass away, or move into long-term care.

In the event of either situation, your property will be sold and the equity release loan will be repaid through the sale of the house.

Until you pass away or move into long-term care, you will be able to remain living in your home for as long as you want, without having to pay rent on your property or being asked to move.

There are many different types of equity release loans in Slough, and the two most popular types of equity release are lifetime mortgages and home reversion plans.

Which equity release plan you apply for will depend on a long list of factors, including how much equity you want to release, what you are using your equity release funds on, how old you are and how you want to receive your equity release funds.

Individuals who plan on releasing equity from their house in Slough are able to choose from receiving one large lump sum, or a number of monthly payments.

At Equity Release Warehouse, we understand that releasing equity from your home is a scary and big commitment.

It is impossible to know everything about equity release, and no one expects you to understand how equity release before speaking to one of our advisors.

Housing Market in Slough

More and more people are considering equity release in Slough because of the increasingly valuable housing market.

In fact, according to Rightmove, houses in Slough cost about the national average, with the average price of houses in Slough costing approximately £378,938 [1].

In fact, there has been a recent 8% rise in house prices in Slough since the peak, in 2018 [1].

This means that a lot of people might be sitting on a considerable amount of equity in their home, as the current value of their house might be worth a lot more money than what they bought it for all those years ago.

This is why it is always worth paying for someone to value your home, so that you have the most up-to-date information about the value of your home.

How Much Does Equity Release Slough Cost?

It is important to remember that even though you will gain access to a considerable amount of money when you release equity from your home, releasing equity itself does cost money that is often paid upfront and before you gain access to your funds, such as legal fees.

How expensive your equity release depends on a number of different factors, including how complex your application is.

When you release equity from your home, you will be charged interest on your loan which you can opt to pay off in small, monthly payments or wait to pay off the compound interest when you pass away and the house is sold.

Whilst many people believe that interest rates are sky-high when it comes to equity release, lots of people are pleasantly surprised.

Interest rates on equity release loans are manageable, and people are recommended to pay off this interest before it has a chance to spiral into compound interest.

In order to apply for equity release in Slough, you must also pay for someone to come and value your house, advise you and for solicitors to draw up your illustration and contract and handle the legal and financial side of the equity release application.

How much this costs depends on a number of different factors, including how large and complicated your equity release application is.

Your valuation fee will cost approximately £100 – £200, depending on the location and size of your home.

Your solicitor’s fees can also cost approximately £1,000 – £3,000 depending on who you opt to go with and the size or complexity of your equity release application.

If you are worried or confused about the costs of equity release in Slough, then speak to a member of the Equity Release Warehouse team for help and advice. Our team will use our equity release calculator to calculate the best plan for you.

Alternatively, you can visit our page on the costs of equity release for more information.

Why Is Professional Advice Advised?

Anyone who is seriously considering equity release in Slough will need to seek the advice of a fully trained and professional equity release advisor before submitting their equity release application.

Equity release advisors are there to help and guide you through the process to ensure that you fully understand the ins and outs of equity release in Slough, as well as the pros and cons.

There are now so many different types of equity release across Slough and the rest of the UK, that you are forgiven for getting confused between the different plans and interest rates.

That is why at Equity Release Warehouse, we advise that you speak to one of our advisors so that they can break down the complexities of equity release and help you to overcome the ins and outs.

It is important to understand the different options available to you, whilst understanding how equity release interest rates work as well as how you might be able to pay back any of this interest.

Your equity release advisor at Equity Release Warehouse will ask you how you plan on spending your money. Whilst this might feel like an intrusive question at first, your advisor needs to know so that they can recommend the right equity release scheme.

No equity release advisor will ever put any pressure on you to release equity from your home, release a certain amount or make any type of decision before you are ready to.

Every equity release advisor is there to inform and educate you on the benefits of equity release, whilst being committed to showing you the pros and cons so that you get a full picture of the ins and outs of equity release.

One of the most invaluable things that your equity release advisor will do will be to draw up an equity release illustration. This will lay out the costs of your equity release plan and will prove invaluable in making your decision.

Why is Equity Release Slough so Popular with Homeowners?

Equity release is incredibly popular with individuals aged 55 or over for a number of reasons. In fact, the most recent figures highlight that equity release is booming across all parts of the UK.

Everyone has their own reasons for using an equity release plan, but most people choose to release equity from their home in Slough because they want to live in a more comfortable and financially stable environment as they age,

Due to its popularity, more and more lenders are creating more exciting and varied equity release products, which offer lots of options to individuals whilst providing them with flexibility, too.

Equity release has become particularly popular recently due to a surge in house prices across the UK and Slough.

As the value of people’s homes is increasing in value, individuals are more aware than ever of how much equity is in their house.

If you are unsure of how much equity is in your home, then it is recommended to get a home valuation report done on your house, and speak to one of our equity release advisors.

More and more people are using equity release as a way of living a more comfortable life because you do not have to repay the equity release loan until you pass away and your loved ones and next of kin sell your property.

How Long will My Equity Release Application Take to Process?

If you are considering applying for equity release in Slough, then you might be wondering how long your equity release application will take from start to finish.

If you are in need of the extra funds within a few days, then equity release in Slough is not for you.

Your application can take anywhere between six weeks to three months but depends on how fast your solicitor is able to process your application and how fast your equity release lender is at processing and approving their applications.

If you are hoping to release a considerable amount of equity from your home, then you should be prepared to wait a little longer for your equity release funds to enter your bank account.

If you think equity release is for you but want more information on how long the process will take from start to finish, then speak to our team at Equity Release Warehouse or by visiting our website for more information.

Equity Release Slough – What Are The Facts?

Over the years, people have gotten confused about the facts surrounding equity release Slough and across the rest of the UK.

Unfortunately, this has led to a number of misconceptions surrounding equity release, meaning that lots of people who would benefit from equity release in Slough have never taken the plunge due to being misinformed.

At Equity Release Warehouse, we are passionate about educating people on the benefits to equity release, some of which are listed below.

1. Interest Rates are Fixed Throughout

Unlike with other loans across the UK, interest rates with an equity release loan are fixed in place for the entirety of your equity release loan.

This is one of the best things about equity release, as it means that you know exactly how much you will have to pay back, depending on how many years you live for.

This gives people a lot more insight and control over what they will have to pay back, unlike with traditional mortgages where you are only given fixed interest rates for just a few years, after that they can go up or they can go down.

It is the job of the Bank of England [2] to create these interest rates which determine how much you will have to pack back if you want to borrow an amount of money.

If the percentage on your interest rate is high, then you will be expected to pay back more.

Compound interest is where interest is not paid off during a prolonged period of time, which is added back onto the original balance of the loan which then in turn adds more interest on the loan amount, which means that your returns are compounded over time.

2. Your Inheritance Will be Protected

A major misconception behind equity release in Slough and the rest of the UK is that by opting for equity release, you are taking your inheritance away from your next of kin.

Whilst some equity release plans might mean that you do not leave as much inheritance to your next of kin, like a home reversion plan, you will still be able to leave them a considerable sum.

Most equity release plans across Slough and the rest of the UK contain an inheritance protection clause.

This is a great aspect of any equity release scheme and you should ensure that your loan includes this. By doing so, you will be ensuring that your equity release loan is protected and won’t leave your family and next of kin in any financial difficulty or debt.

3. No Negative Equity Guarantee

If you release equity from your home in Slough, then a no negative equity guarantee will be a part of your equity release loan.

The Equity Release Council [3] make sure that this is a part of all equity release schemes, which means that your loved ones and next of kin will be protected after you pass away.

The no negative equity guarantee ensures that even if your property sells for less than the loan amount, the lender will cover these losses, not you or your next of kin.

4. Flexibility in How You Repay Your Interest

Not only will your interest rates be fixed in place for the entirety of your equity release loan, you will also be offered different ways to repay your interest.

You are either able to pay off the interest on the loan on a frequent basis, or you can wait until you pass away, when the loan will be paid off upon the sale of your house.

5. You Don’t Have to Move House

One of the best things about equity release in Slough is that you do not have to move house to gain access to additional funds.

Many people think that the only way that they can gain access to additional funds would be to sell your house and downsize to a smaller property.

However, with equity release in Slough you do not have to move house and are able to stay living in your home for as long as you want to.

What is a Lifetime Mortgage?

The most popular type of equity release in Slough is a lifetime mortgage. With this type of equity release scheme, you take money out of your house which will be repaid when you sell your property after you pass away.

Lifetime mortgages in Slough allow you to continue living in your much-loved home whilst being able to spend your money and enjoy your retirement in the meantime.

It’s important to remember that you will still remain the owner of your home when you opt for a lifetime mortgage, and you are still fully responsible for the maintenance of your house.

With a lifetime mortgage, you will benefit from a no negative equity guarantee as well as inheritance protection which means that your next of kin will be protected if the value of your house decreases to less than the value of your equity release loan.

Your lifetime mortgage will charge you interest, and you are able to repay your interest in different ways.

You can opt to pay off your interest every month or every year, or you can wait until you pass away and sell your house to pay off this compound interest.

If you want to qualify for a lifetime mortgage in Slough, then there are certain qualification criteria, some which are listed below.

You need to be aged 55 or over
Your house needs to be in the UK
Your house needs to be worth £70,000 or more
You must only have a small amount left on your mortgage
You need to speak with an equity release advisor

Speak with a member of the Equity Release Warehouse team for more information on lifetime mortgages in Slough and across the rest of the UK.

What is a Home Reversion Mortgage?

A home reversion equity release plan is the other form of equity release that seems to be the most popular with people who are considering equity release in Slough.

Home reversion plans are only available to those aged 65 or over, and work slightly differently to lifetime mortgages.

Home reversion plans work by releasing equity from your home in exchange for a certain percentage of your home, which will be sold back to the equity release lender but for a cheaper amount than the market price.

Unfortunately, individuals who choose an equity release home reversion plan do not get as much money for their property as they would if they sold their property through the normal housing market.

There are a number of reasons why people choose a home reversion plan across Slough, with the main one being that you do not have to repay the loan until you pass away or move into long-term care.

Your home reversion equity release loan will also feature a no-negative equity guarantee as well as inheritance protection.

These two things mean that with a home reversion plan, your next of kin will not be left in any debt, although they might not receive as much inheritance as if they were to opt for a lifetime mortgage.

FAQs Surrounding Equity Release in Slough

Below, we outline some common questions about the equity release process in Slough:

1. What is the equity release process?

The equity release process is quite simple to understand, and your equity release advisor should be able to explain the process to you so that you have a strong grasp on how equity release works. In fact, you should read our page on equity release jargon.

The first stage in the equity release process is speaking with a fully qualified and trained equity release advisor for advice and support. Once you do this, you will be given as long as you need to think about whether equity release in Slough is for you.

Once you decide that equity release in Slough is for you, you will then speak again with an equity release advisor to decide on which equity release plan is for you, and to make sure that you understand the equity release process.

Your equity release advisor will then create your very own equity release mortgage illustration, which will lay out all the costs associated with your chosen equity release plan.

From there, you will need to engage your solicitor to act on your behalf of the application and process. Your solicitor will then act on your behalf to communicate with the lender and handle all of the finances.

A few weeks will then pass whilst your lender approves your equity release loan before your solicitor will then release the funds into your bank account.

2. Are there any limits to how much I am allowed to release?

There are limits to how much equity you are allowed to release, and this depends very heavily on your age and your health status.

This will also heavily depend on the value of your home, which is why you will need to pay for a recent valuation. Most people are able to release approximately 60% – 70% of the value of their home, but no less than 10%.

3. What makes equity release a safe investment?

Everyone panics when they hear the words ‘loan’ ‘debt’ or ‘equity release.’ Some people might think that borrowing money is never a good idea, whereas others might be more open to the idea of borrowing money at different stages throughout their life.

Lots of people find themselves becoming less open and confident with risk as they get older. This is often because you have more money and assets to lose as you get older.

However, the equity release industry is monitored by the Financial Conduct Authority [4], which ensures that you are offered a fair and reasonable equity release loan.

4. How expensive is equity release in Slough?

Equity release has a reputation across the UK and Slough for being expensive. However, this is not the case. Whilst equity release loans charge you interest on your loan, the cost of setting up an equity release scheme isn’t that expensive.

In fact, the only real expense of setting up an equity release scheme is that of a solicitor, which can cost anywhere between £1,000 and £3,000, depending on which solicitor you opt for and how much equity you are releasing from your home.

5. Why should you choose equity release in Slough?

There are many reasons why you should choose equity release in Slough. For example, you can spend your equity release funds in whichever way you want, and you don’t have to repay your loan until you pass away.

Choosing equity release in Slough gives you the flexibility to enjoy your retirement the way you want to, with the funds to do so.

6. Should I consider the alternatives to equity release?

We generally advise you to at least weigh up the alternatives to equity release, and to examine the potential drawbacks before you move forward with your application.

If you are releasing equity to combat the cost of living, then it might be better to first try to see if you can better manage your budget. Below, we list organisations that may be able to help in Slough: