Financial constraints are quite common when you reach the retirement age. With turbulent economic times reigning over the globe, the scope for retired individuals to live a financially affluent life has become a far cry.
Equity release has ushered in a ray of hope for the retired population. Financial advisors mostly recommend senior to pursue such intelligent finance schemes in order to survive the tough economic conditions prevailing in current times. Yes, one can try this to ward off economic constraints. Equity releases are considered by most to secure their future. This financial product paves way for happy post-retirement days. This special financing product allows the individual to acquire money against the value of his home. In such case the person mortgages his home or other similar properties to derive a lump sum amount from the financer.
Get to know about the different types of equity release plans available for you:
Lifetime mortgages: Equity release asking for a lifetime mortgage allows you to derive a certain amount, which comes without you having to pay a single buck as tax. This special financing option allows you to stay at home until you and your spouse breathe your last or you are under long term care.
Home reversion schemes: The scheme allows you to sell off a portion of your home for cash. You don’t have to repay the amount on a monthly basis. All interests accrued over the period are considered after your death; plus this financing scheme allows you to save a portion of the house that is under your ownership.
Enhance lifetime mortgage plans: A type of lifetime mortgage plan, this kind of equity release allows you to derive more cash. The scheme particularly considers your lifestyle and health while allowing you the amount.
So, it can be concluded that the following Equity release plans are splendid financial alternatives for the senior population.