There are four different types of regulated equity release, each of which will be fully explained to you during your free, no-obligation consultation with your local Bower specialist.
The four different types of regulated equity release plans are:
- Lump sum lifetime mortgages
- Lifetime mortgage with flexible ‘drawdown’ cash release
- Interest-only lifetime mortgages
- Home reversion plans
A Lifetime Mortgage allows you to unlock your equity in a single lump sum, or in smaller amounts over time up (drawdown) to the maximum limit agreed with the plan lender. You retain full ownership of your home and interest on the loan can be rolled up or repaid over the life of your plan.
It’s worth noting that some plans allow you to repay up to 10% of the outstanding loan each year. Or you can pay the interest monthly over the life of your plan thereby only ever owing what you initially borrowed.
A Home Reversion Plan also allows you to access all or part of the value of your property while retaining the right to remain in it, rent free, for the rest of your life (or until you move into long-term care).
You can find out more about these plans here on our website, in our free equity release guide or by arranging a free, no-obligation consultation with your local Bower specialist.