Will I Have Monthly Repayments? Monthly loan repayments can be a big problem for many homeowners and can often be a burden. This should never stop you from releasing equity as using lifetime mortgage plans means there are no monthly repayments and repayments can be made for the loan plus interest when the plan comes to an end.
This ensures your loan, plus its accrued interest, is repaid when either you and your partner both pass away or move into long-term care. This allows you to repay the loan using funds from the sale of your property. Any additional money can be given directly to your estate.
As there are no monthly repayments, equity release can be used to pay off any existing debts you may have, ensuring you can improve your financial stability.
Monthly Repayment Options Whilst many people do not want monthly repayments, you do have the option of both regular interest payments and voluntary partial repayments with lifetime mortgages. Regular interest payments give you the option of choosing how much interest you want to pay and how long you would like to pay for. These payments can be made and if you fail to keep up, a simple conversion can be made back to a normal lifetime mortgage.
A new feature available with lifetime mortgages is voluntary partial repayments. These repayments allow you to pay up to fifteen percent of the initial amount your burrow each year. This method will never lead to an early repayment charge.
Book Equity Release Advice Book equity release advice today and get in touch with Essex Equity Release . Our team will always provide a fast response and organise a suitable time to discuss equity plans. Make an enquiry and call 01268 799211 or fill in our contact form today.