Equity Release

Discussion in 'Motorhome Chat' started by tick59, Jan 7, 2015.

  1. tick59

    tick59 Funster

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    Has anyone done Equity Release to get a bit extra money to make retirement a bit easy. Never had a chance to save much or get a private pension so thinking of going along with equity release. Morgage paid kids up and they are not interested in us leaving anything for them when were gone our parents never left us nowt and are kids think the same use the money in the house and enjoy what time you have left you only live once etc. fun!!! fun!!! fun!!!
     
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  2. Judge Mental

    Judge Mental Funster Deceased RIP

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    what about downsizing and releasing equity that way.....dont trust any schemes I'm afraid!
     
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  3. Baycott

    Baycott Funster

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    I agree with judgemental. My mum had a couple of quotes and it seems to be quite a rip off unless you are really old and are likely to peg it really soon!!!
     
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  4. gillnphil

    gillnphil Funster

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    Only makes sense to me if you have no dependents. That being the case then why not ?
    Phil
     
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  5. JeanLuc

    JeanLuc Funster

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    The issue is income generation in retirement which needs financial planning. Equity Release is just one option so in your position, I would get some professional advice before considering it. I know it costs money to get advice but it is likely to be a lot less than you could lose by making a poor choice of income source. Have a look at these sites to find an IFA in your area:
    https://www.unbiased.co.uk/
    http://www.financialplanning.org.uk/wayfinder/find-planner
     
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  6. GJH

    GJH Funster Life Member

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    I agree with Philip. The security of tenure offered by some equity release schemes isn't as secure as it's made out to be.
     
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  7. davidbaldam

    davidbaldam Funster

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    I agree with JeanLuc you MUST get independent financial advise. Equity Release will get you a lower amount than you expect, down sizing is another solution but you need to find as many options as possible. (y)
     
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  8. steevie

    steevie

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    It can be the biggest rip off ever, but if you aren't bothered about leaving any estate, and the money offered is sufficient for your needs, then does it matter.
     
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  9. buttons

    buttons Funster

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    You say to make retirement a bit easier, this would suggest that you are still quite young. In my opinion ER is fools gold. Work it out for yourself, someone wants to make money from your property, now how are they going to do that. It will all end in tears. Downsizing is a much safer alternative without any third party taking the lions share.
     
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  10. Puddleduck

    Puddleduck Funster Life Member

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    Equity Release is only good news in very limited circumstances.

    Moving to a cheaper alternative would be the way to go.....
     
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  11. rikfos

    rikfos Funster

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    I financed my retirement by selling my house and buying one for half the money in Herefordshire.
     
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  12. Brian and Jo

    Brian and Jo Funster Life Member

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    IMO leave well alone,as has been said the sensible thing to do is down size.why give a chunk of your hard earned away.keep it for you and your family(y)
    Brian & Jo
     
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  13. jockaneezer

    jockaneezer Funster

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    Something on the news recently about an equity release company went into receivership, a bank took their assets ( mortgage deeds etc ) then informed tennants they had to get out of their houses as the bank was going to sell them on.
     
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  14. tick59

    tick59 Funster

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    I am 67 is that young????? fun!!! fun!!! fun!!!
     
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  15. New Dawn

    New Dawn Funster

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    Totally agree. We downsized, sold our last property & bought a 2 bed apartment. No equity release firms. Just us & estate agent. Invested money, now get income from that without losing capital, which is there if needed. (You never know)
     
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  16. buttons

    buttons Funster

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    It could be....20/25 years of living under a ruthless landlord. Your release all spent no equity left and living an unhappy existence. :( What do you think.(y)
     
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  17. GJH

    GJH Funster Life Member

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    Not compared to some of us you old b****r :D but young enough :D
     
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  18. keith

    keith Funster

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    I did it twice to buy our first MH then moved and repeated the exercise, so it can work but as said you need financial advice.
    It can be difficult to find the right deal yourself as there are (where) so many different options out there.
    My situation was somewhat different as an ex IFA I had access to all the market place. Also back in the 90's there was more chance of your property going up in value, it's much different now.
     
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  19. Judge Mental

    Judge Mental Funster Deceased RIP

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    enough said!
     
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  20. wanderer

    wanderer Funster

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    Are your kids in a position to buy your property singly or between them which could give you the extra capital and them a future asset . In Australia its now all the rage to buy a second property with your super(pension fund) rent it out and have the asset at the end plus its tax efficient.
     
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