Equity Release
Thinking about Equity Release?

Equity can be released by way of a lifetime mortgage and a home reversion scheme and Cailean can advise you on lifetime mortgages only.

Equity release means using the value of your home to generate cash or income, without having to sell or move, allowing you to continue living in your existing home. You still own your home with the amount you owe increasing over time as interest is added.

At Cailean, we have the resources to find the right lifetime mortgage to suit your needs, whether it be income or a lump sum.

Criteria

Own your own home in good condition - usually with no outstanding mortgage, or a plan to clear the remaining borrowing.
Be at least age 55 years (but some schemes have a higher minimum age).

Advantages
  • You still own your home and can continue living in it for life.
  • You get to enjoy the equity built up in your property that can be used for a variety of ways such as:
  • boosting your retirement income or helping to fund your retirement goals;
  • repaying borrowings, such as an interest-only mortgage;
  • potentially reducing your inheritance tax liability.
  • The funds released are tax free.
  • There is no monthly payment.
  • There is a guarantee that there will be no negative equity as all lenders we use adhere to the Equity Release Council Code of Conduct strict criteria.
Disadvantages
  • Your family will not inherit all the property value as the value of the estate that could be inherited may be reduced.
  • You could potentially lose some state benefits.
  • There is an initial set-up cost and details can be provided on request.
  • Compound interest will add to the debt of the equity released.
  • Early repayment charges could apply.
  • Although it would not stop you from moving to a new home in the future, it could make it more complicated. 

Cailean will aim to find a mortgage that is tailored to your needs and measures up to your own individual circumstances. We at Cailean will provide honest, independent, professional advice and support you every step of the way.  

Please note that a lifetime mortgage will be secured against your home.
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