Advanced Mortgage Services Ltd
We provide Independent Advice from the Whole Market
Advanced Mortgage Services Ltd is an appointed representative of The On-Line Partnership Limited which is authorised and regulated by the Financial Conduct Authority. Advanced Mortgage Services is registered in England. Company registration number 4751565.
Cherry Tree House, 20 Inverleigh Road, Bournemouth, Dorset, BH6 5HA.
Advanced Mortgage Services Ltd website is only for the use by UK residents & is subject to the UK regulatory regime.
Equity Release Risk Warning.
Lifetime mortgage, or home reversion plan.
Equity release may affect your entitlement to state benefits and could reduce the value of your estate. To understand the features and risks, ask for a personalised illustration.
Please think carefully before securing other debts against your home.
One of the primary fears for many people considering equity release is the reduction in the inheritance which will be left for their children.
Often the children are grown up and have more disposable income than their parents. The children are likely to feel guilty at the thought of their parents going without just to be able to pass on a larger inheritance.
Many inheritances are also significantly reduced in later life by nursing home fees or inheritance tax so there is no guarantee how much will be left to pass on.
If you do decide that an equity release is your best option, but would also like to make sure there is some inheritance left to your children then their are a few options available.
If a Home Reversion plan is chosen then it is possible to sell part of your home, for instance 50% and retain 50%. This means that 50% of the property value will be protected when the property is eventually sold (less any selling costs). Bear in mind this will reduce the available funds which can be released by 50% as well.
With a Lifetime Mortgage it is also possible to protect a percentage of the property by reducing the amount of funds released. It could be agreed for instance that 50% of the property is protected so any calculation would be based on the property value less 50%.
There is also an interest option which allows monthly payments to be made subject to affordability which can reduce the effect of compound interest.
Many of these options come with their own terms and conditions and differ from one provider to another. They are also likely to change over time with more options becoming available or products and lenders being withdrawn.
It is important to consider your options carefully and to get qualified advice. To understand this in more detail and to provide you with a personalised illustration please contact us.
If you would like to find out more please contact us
Protecting Your Inheritance