Have you heard about equity release products that’re changing the lives of homeowners in the United Kingdom?
Equity release is a fantastic way for people over the age of 55 to get access to loans by le veraging your property against its target value. This type of borrowing method is done with home reversion plans and lifetime mortgages.
Equity release is also a great way for older expats to get access to money tied up in their property.
Equity Release Advisor John Lawson divulges the secrets of Equity Release Best Companies and the benefits of equity release for expats, and how equity release mortgages are on the rise for UK expats.
What’s Equity Release?
Equity release is a type of later-life mortgage that allows homeowners aged 55 years and older to have access to a loan that is leveraged against the value of their property.
With a later-life mortgage, homeowners can still reside in their family homes without having a fear of making monthly repayments.
Rather,
When the homeowner enters long-term care or passes away, the property is sold. The proceeds of the sale are used to pay off the loan, including the interest.
Home reversion plans and lifetime mortgages are the most common types of equity release products. With a lifetime mortgage, you remain the owner of the property, whereas a home reversion allows the homeowner to sell part of their property to the lender.
What’s an Expat Mortgage?
Expat Mortgages are designed to assist expats in purchasing a home in the United Kingdom and releasing money tied up in their current property.
Do Expats Qualify for Equity Release?
Expats can qualify for equity release the same way UK residents qualify.
To qualify for any equity release product, you need to own property that you use as your primary residence and need to spend at least 6 months of the year living in this residence.
Equity release is also a great way for older expats to get access to money that’s tied up in their property.
How Does Equity Release Work for Expats?
Equity release mortgages are not your normal type of mortgages in that the homeowner can reside peacefully in their home without having to make any repayments on the amount borrowed.
Instead, the borrowed amount and the accumulated interest are repaid to the lender when the house is sold.
With both equity release products, the homeowner maintains the right to remain a permanent tenant until the day they enter long-term care or pass away.
Conclusion
Are you an expat over the age of 55, owns property in the United Kingdom, and is concerned about financial difficulties later in life?
You’ve probably thought that there is no way to generate money as an expat other than selling off your possessions. Luckily, as an expat you can make money off your property abroad!
