Which Equity Release plan could be right for me?
The most popular type of equity release plan is a lifetime mortgage. A loan is secured against your home and in return, you can release a tax-free cash lump sum. The amount of tax-free cash you can release is based on your age and the value of your home. Interest is added throughout the lifetime of the loan on a compound basis as typically you will not be required to pay regular monthly repayments. However, you can pay the interest if you want to, the choice is yours. The amount of equity released plus the interest accrued will be repaid when you die or move into long-term care.
