Did you know that lenders may allow moving house with an equity release plan? This is because nowadays, some plans have the facility to ‘port’ your plan with you.
Once the children have fled the nest, a big family home can feel empty. As we adjust to living on a retirement income, the upkeep of a bigger property can be very costly, not to mention time-consuming. The costs associated with moving house can be expensive and should be weighed up within the decision to move. However, once the initial expense of moving house has been considered, over time, you could make significant savings in running costs. A large sum of money can potentially be saved by moving to a less expensive area. Energy bills can be significantly cheaper in a smaller home and you could get a cheaper council tax band.
Can I move house with an existing equity release plan?
When arranging a plan approved by the Equity Release Council, they guarantee it can transfer to your new home. They also guarantee that this will be without a financial penalty. This is providing you move to a suitable property (the value and construction of the property are key factors here). As members of the Equity Release Council, Bower only recommend their approved plans.
If planning to purchase a less expensive property than your current home, then you may have to repay part of the outstanding loan, provided you transfer the mortgage to the new property.
Equity release plans from years ago can be reviewed…
If you arranged an equity release plan more than five years ago, then you may now be eligible for a better deal. Bower have helped many new clients who came to us with equity release products that they were sold some years ago elsewhere. Where these are not working in their best interests nowadays, we have found them a more suitable plan. If you would like to explore this option we can offer a free, initial no-obligation discussion.
Using Equity Release to assist with a purchase
Looking to move up the property ladder in later life? If you do not already have an equity release plan and want to move to a more expensive home or location, then you may be able to use equity release to assist with the purchase. Our highly experienced advisers could help you to raise the additional cash required to complete the sale.
You can also use equity release to purchase a holiday home abroad or a second home. This will be under the proviso that your existing property remains your main place of residence.
Enjoy our award-winning service today
If considering equity release, it is vital you seek advice from an independent specialist. Bower are “whole of the market” specialists so can search the market to find the right plan for your needs.
During a free, no-obligation initial consultation, we take the time to explain the advantages and disadvantages of an equity release plan. This includes how the money released reduces the amount of inheritance you leave. It may also affect your entitlement to some state benefits.
If you are over 55, own your own home and would like a review of your existing mortgage or equity release plan, contact us on Freephone 0800 410 1107.