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Alotbsol wrote: »
We took out equity release 10 years ago so that we could help our sons get onto the housing ladder rather than pay high rents - we were simply bringing forward the legacies they would inherit eventually. That first deal was expensive (6.6%). so last year we paid it off and moved to Nationwide (via Age Solutions) at 3.5%, and there were no extras except £700 legal fees - Nationwide paid Age Solutions and the surveyor who valued our house. Now our house is increasing in value faster than the Equity release, and we are well pleased.
avonstour wrote: »
Not sure if it's worth it, any pointers appreciated. Parents took out equity release years ago of £40K. Dad died some years ago. Mum in her late 70's now has £100K on this as grown with c. 5.5% interest, yikes. Her place is probably worth £300K today. She wants to move somewhere smaller / easier to look after one day soon. In theory if she bought somewhere for £180-200K, could she could then clear most/all of this release loan after any settlement and moving fees. Or if she went somewhere that was a bit less and couldn't clear it all, can I take on any remaining debt via either a loan/short mortgage, let her live there but all in my name etc? Some of these over 55 places she's looked at say you can't move with this kind of loan hanging over.
She could just stay put I know but she could well go on for another 20 years, her mother did, and I know all value would go as the loan grows. So overall, looking at a way of helping her move one day, but also protecting any potential inheritance, never expected anything but would rather any value stays for me and my kids rather than disappearing into some equity loan company. Any tips/advice? Cheers
TELLIT01 wrote: »
My wife will retire in 3 years time and I will then be 71. We have no children, and it seems to make sense to release some of the equity in our property which is currently worth around £280k.
We're happy for my wife's sister and her family to benefit from anything left when we finally pop our clogs, but certainly don't plan to go without in order for them to benefit.
What alternatives to lifetime mortgages and similar could we consider, or is equity release a good option for us? There is no point in looking at downsizing as 2 bedroom bungalows are nearly as much as our 3 bed semi in our area.
TELLIT01 wrote: »
Hopefully we would be able to get by on our pensions, but who wants to 'get by' for the next umpteen years? Releasing equity would enable us to continue having decent holidays, replace the car as and when it's necessary, etc.
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