A myth about equity release – The mortgage provider will be the owner of the property

Equity release is often viewed by many as a way to sell their home while still having the option of continuing to live in it. A lifetime mortgage is a type of mortgage that allows you to borrow against your home.

If you have a lifetime loan, you will pay the interest and capital costs every month. The capital costs are rolled up, and you can repay them when you die or when the last joint owner of the mortgage moves into long-term care, for example.

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Even though the providers of lifetime mortgages do not own their customers’ homes, they can place restrictions on certain changes that customers make to their properties. Even after the life of the mortgage is over, the provider does not own the house. They only have a right to receive the money they owe. Equity release can be a good solution for older homeowners but it will impact the amount of inheritance that is left for any children. For advice, contact an Equity Release Solicitor like www.tivoli.legal/

The surviving family member will not be forced to sell their home if the funds are sufficient to pay off the lifetime mortgage.

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The truth about equity release – A lifetime mortgage is secured by the value of the home and must only be repaid when the owner dies, or if the joint owner goes into long-term permanent care. It doesn’t need to be paid back from the sale of your home, but in most cases that is how it is done.

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