A lifetime mortgage can boost your income later in life by allowing you to release some of the equity held in your property. With a lifetime mortgage, you can borrow against the value of your home very much like a standard residential mortgage. It is a secured loan on your home which does not need to be paid until you die or go into long-term care. You free up some of the wealth you have tied up in your home and you can still continue to live there.

There are two different types of lifetime mortgages. We can help you understand the difference between the two and advise you on which one to choose.

• An interest roll-up lifetime mortgage: with this type of loan you receive a lump sum or are paid a regular amount, and you are charged interest which is added to the loan. This means you don’t have to make any regular payments. The amount you borrowed, including the rolled-up interest, is repaid at the end of your mortgage term when your home is sold.
• An interest-paying lifetime mortgage: with this type of loan you receive a lump sum from the lender and make either monthly or ad-hoc payments. This reduces, or stops, the impact of interest roll-up. Some lifetime mortgage agreements also allow you to pay off capital, if you so wish. The amount you borrowed is repaid when your home is sold at the end of your mortgage term.

This is something you will need to consider when taking out a lifetime mortgage. You might need a lump sum now but you may also like the flexibility of drawing down regular or occasional amounts as you need it. The way in which you borrow the money has an impact on the interest to repay so this is something our equity release mortgage advisers will talk through with you.

You may like to share any financial plans for your home and your future with your family. We are happy to talk through the options for equity release with you in the presence of your family members. In particular this can be very important if you are releasing equity from your home to help support your loved ones with their plans. We can act as a trusted and continued source of mortgage advice for your family members.

Equity release is becoming more popular as we are living longer and our lifestyles change.

Equity release is a major decision

This does not mean you should enter into an equity release mortgage lightly. It is still a big decision to free up the wealth in your home that you have worked so hard to achieve. It may be that there are other mortgage options that you have not considered, which is one of the reasons why you should talk through your plans with a qualified and independent mortgage adviser.

We’re a member of the Equity Release Council!

At Willson Grange Mortgages we are experienced in helping clients make decisions about finance involving their homes. If you do decide to go ahead with equity release then you can be confident that by using Willson Grange Mortgages you have received advice from a member of the Equity Release Council – a seal of approval for us as equity release mortgage advisers. Call, email or visit us for your free of charge consultation with one of our friendly and trusted mortgage advisers.