Releasing money with an equity release plan. What is the process?

Equity Release allows homeowners aged 55 and over to use the money tied up in their homes to help with their needs. The money released is tax free and can be used for any purpose. Sounds great, but some people worry that taking out an Equity Release plan is a complicated an expensive process. Let’s have a look at what‘s involved.

Firstly, you need to get specialist advice to see if Equity Release is right for you. At Retirement Solutions, we offer a free, no obligation initial consultation in the comfort of your own home. You can discuss with an experienced specialist advisor any questions you have and we can find out about you and what you need.

Following this meeting, if you want to find out more, our advisor will visit you again to go through a personalised recommendation based on your needs and circumstances. If you are happy with this recommendation, we will complete an application form and send it to the recommended lender.

When the lender receives your application, they will instruct a surveyor, who will contact you to arrange to value your property. You will then receive an offer from the lender confirming the terms and conditions of the loan, such as how much they will lend and the interest rate that applies to the loan. Your advisor will contact you to go through this with you ensuring any questions you might have with the offer are answered.

You will need to appoint an independent solicitor to deal with the legal process. You can choose a legal firm yourself or we can put you in touch with an equity release specialist. Once you’ve chosen your solicitor, they will contact you by telephone to complete a questionnaire about you and your property. They will then arrange a face to face meeting with you to witness your signature on the offer you’ve received from the lender. The lender also appoints a solicitor and when they have completed their checks they will set a completion date. This is the date when the funds are sent to your solicitor, who will deduct any charges and then forward you your money. This process normally takes about 8-12 weeks -You can then spend the proceeds in any way you wish.

If you’ve found this video helpful, why not have a look on our website – RetirementSolutions.co.uk, where you’ll find lots more videos giving information about Equity Release.