Is Equity Release Safe?

csbtoday

Hello,
Can anyone tell me if equity release is safe or whether it is a dangerous step for a retired person to undertake due to all the bad news it receives.
Any advice on good equity release websites is appreciated.
Thanks,

SouthCoast

If you’re retired and living on your pension you may be considering equity release as a way of getting cash from the value of your home. Find out how it works.

http://www.moneymadeclear.fsa.gov.uk/products/equity_release/equity_release.html

London_Town

My Dad took Equity Release about 5 years ago and it worked for him. He's 79 now and has been a widower for nearly 30 years. He had a small mortgage which he was able to clear and he can now stay in his house until he needs to go into care or dies. The deal he took was one where the equity firm own the house from day one so there will never be a debt as such.

My brother and I were fine about it as he involved us in the decision making process. It really depends upon individual circumstances, but it made sense for our family.

Ian_W

All ER schemes are now subject to regulation and I believe IFAs need specific qualififications to advise. This wasn't the case until recently and I expect a lot of the "bad rep" pre dates regulation.

SHIP was around then and represented the better end of providers and had its own code of practice before it was a requirement.

AGE CONCERN also publish a factsheet - which gives an unbiased view.

HellsGranny

Thanks Ian, that helps me too.

Cheers, HG

mrsw1983

csbtoday wrote: »

Hello,
Can anyone tell me if equity release is safe or whether it is a dangerous step for a retired person to undertake due to all the bad news it receives.
Any advice on good equity release websites is appreciated.
Thanks,

We have found that remortgaging for a small amount against the property a better (for us anyway) way of raising cash. There are a couple of lenders which will lend to retired people depending on affordability etc. Worth looking into as an option.