Overview
Equity release is one option, but it is not the only one. Depending on your goals, you may have alternatives that cost less or protect more of your estate.
Downsizing
Selling your home and moving to a smaller property can free up money without taking on a long term loan. You will need to consider moving costs, estate agent fees, and whether a move is realistic for you.
Retirement interest only mortgage
A retirement interest only mortgage, often called a RIO, lets you pay the interest each month. The loan is usually repaid when the last borrower passes away or moves into long term care. This can help protect the amount you leave behind, but you must be able to afford the monthly payments.
Remortgaging
Some people can remortgage or take a later life mortgage, especially if they still have income in retirement. This can work well for those who want a shorter term solution.
Using savings or investments
If you have savings, investments, or premium bonds, it may be worth checking whether using some of these funds is a better fit than borrowing against your home.
Family support
Some families prefer to support a parent through a gift or family loan. This can keep the home unencumbered, but it needs to be agreed clearly and fairly.
It is also worth learning the basics of what equity release is, checking eligibility, and understanding costs and risks. If you want a quick estimate, you can use our calculator.
If you would like to compare equity release with other options and get clear advice, contact us today with no obligation.