Equity Release advice

SeniorSam

I'm sure thare are those in the know on this and help would be appreciated.

Have friends who are both age 69 and due to health reasons want to move from their house to a bungalow.

No present mortgage and have seen a bungalow aroung £350,000 and they want to buy that but need to be quick, possibly before they sell

They could raise £100-150,000 before selling their home, but can an equity release mortgage of say 50% be obtained on the bungalow, which would give them time to sell up and enjoy a better lifestyle with more capital once their own home is sold.
They have no children or relatives and their estate goes to charity when they both die.

Any advive please

Sam

koexelek

They would not be able to get anywhere 50%, as they are too young. Would probably only get 20-25%.

Perhaps a better option would be to raise a buy to let mortgage against their current home( raising the rest of the money needed to buy the new property) then rent it out until they were able to sell it.
It would probably not be wise to sell if for a couple of years though, as the early repayment charges on buy to lets are usually high diring the early years ( to stop people using them as glorified bridging finance)