Giving grandparents a new lease of life with equity release
Grandparents are the backbone of many families, they have seen us all grow up and have always been there for us during times of need. From giving us pocket money as teenagers to helping us out financially with our first home, grandparents are often vital bank managers who never seem to turn down a loan request!
Now they are facing later living it’s time to repay all the tender loving care and financial assistance our grandparents have provided us with over the years. Through equity release our elderly loved ones can find themselves with the financial independence they thoroughly deserve.
How does it work?
With equity release you essentially borrow money against the value of your home. The money is only repaid when the house is sold; typically when the homeowner dies.
There are several equity release schemes available so it’s advisable that you and your grandparents go and talk to a financial advisor before a decision is made about what kind of choice is best for your situation.
Who is equity release available to?
Details differ from company to company, but you usually have to be 60 years of age or older with no outstanding mortgage on your home. Your property should be in reasonable condition to be eligible for equity release. On some occasions those who are younger than 60 can also apply for equity release. For example, McCarthy & Stone’s equity release program is available to homeowners who are aged 55 or over and require a tax-free cash sum.
Cash to enjoy
Having a nice lump sum of tax-free cash will help your grandparents live their golden years to the max. They will be able to enjoy going on holidays to all the places they simple couldn’t afford to visit before they retired.
They’ll also be able to treat themselves to the worldwide cruise they’ve always dreamed of or spend several months of the year living in a country with a warm climate. In short, having some equity released from their home will enable your grandparents or elderly parents to spend some of their money on themselves in exactly the way they want to.
* Guest Post from McCarthy & Stone