Recently, major banks have started to withdraw their equity release programmes for lifetime mortgages. Though this has not affected existing customers, people over the age of 65 who are looking to release equity from their property will no longer be able to turn to Halifax or Prudential for this kind of product.
Fortunately, there are other established companies on the market which offer similar products to consumers. The Stonehaven Interest Only Lifetime Mortgage is one such product, which can provide to eligible consumers the equity release options they are looking for.
Equity release is an excellent way for those who have already paid off the mortgage on their property to recover some of the value of that asset to put to use somewhere else. It acts like a mortgage, but rather than paying off the debt, the customer continues to pay the interest until the asset is passed onward.
The idea being that when the asset changes hands, the value of the debt is then recovered. If the home is sold, then this is a great time to recover the equity. If it is passed on to the next generation, then a more traditional mortgage can be raised to finance the debt.
Equity release is an excellent way for people who have retired to ensure they maintain a good lifestyle. While many major banks have departed from this product, there are companies who have established excellent products who are happy to provide a great service.
