Equity Release Legal Advice

Are you over 55 and looking for extra money to help with living costs or care as you get older? Whether you’re seeking to combine existing debt or provide financial help to your loved ones, you might want to release capital from your home to ensure that you and your family can maintain a good standard of living after you retire.

At Mounteney, our Equity Release Solicitors are experts in their field, providing unsurpassed advice and services concerning all matters of equity release, including lifetime mortgages and home reversions.

We understand that the costs of retirement can be daunting, and we’re eager to help guide you through the equity release process, giving you peace of mind that you and your loved ones will be looked after in the years to come.

If you’d like to speak to one of our team today, please contact one of our offices in Bramhall, Cheadle or Heald Green.

Please note: We are not financial advisors, and as with any secured loan, we recommend you seek financial advice to ensure the product you choose is the best for you.

Equity release mortgages are those granted by a specialist lender, typically over a property you already own. Equity release allows you, the homeowner, to release some of the equity tied up in your property to generate a lump sum payment or income stream once you’re over 55.

Several factors come into play for you to benefit from equity release:

• Your owned property must be in the UK.
• Your owned property must be your primary residence.
• Your property must be in a ‘reasonable to good’ state.
• It must be a type of property eligible for equity release.
• The property should be worth more than a specific stated value (this will change depending on the type of property owned and its condition).

With equity release, you can keep and continue to live in your home for a set amount of time—typically until death or upon moving into long-term care, receiving either one payment close to the property value or several payments over many years.

Two types of commonly used equity plans include:

1. Lifetime mortgage: You can take a lifetime mortgage out on your home like a regular mortgage. However, afterwards, you can either make regular payments or have the interest rolled up into the loan amount.
2. Home reversion: This plan will allow you to sell a share or all of your property to an equity release provider, subject to you continuing to live there rent-free until you move permanently into care or until death.

Pursuing equity release can be a complicated process, and you will need the assistance of an experienced legal professional. The equity release process requires independent legal advice—only a specialist Equity Release Solicitor can provide this.

At Mounteney Solicitors, our professional equity release lawyers have years of experience dealing with lifetime mortgages. As we are familiar with lenders’ typical requirements, we can identify any issues immediately. We will guide you through the process from start to finish using simple, clear and concise explanations, ensuring you receive an outcome that benefits your best interests.

Contact our reliable Equity Release Solicitors today to discuss your circumstances or requirements. We’re eager to take your call.

Although there are numerous benefits associated with equity release, there are also several drawbacks, which include, but are not limited to, the following:

1. If you are living with dependents, equity release might not be appropriate. You can still pursue equity release under these circumstances. However, your dependents must also seek independent legal advice to remain in your home. In this scenario, dependents may be able to sign a waiver stating they must move from the premises once you have moved into care or passed away.
2. If you have taken out equity release, your family members will not be able to inherit your property following your death unless they repay the entire amount owed to the lender from other resources. Equity release diminishes your estate’s overall value as your property is no longer in the equation. If you select a home reversion plan, you are no longer the property owner, and the company you take the plan out with owns part or all of your home.
3. The extra money may decrease your access to means-tested benefits, resulting in higher care costs if you later require home help from your local council.

With these drawbacks in mind, it is crucial to contact an experienced solicitor to go through your options and ensure you’re making the best decision to benefit you and your loved ones.

Before we can begin working with new clients, we must conclude the client retention process, which involves agreeing on the scope of what we are doing for the agreed-upon price, ID checks and client setup, and producing the bill. All new clients must make payment in advance.

When this process is complete, equity release typically takes around 2-3 months to complete if the process is straightforward. For more complicated personal circumstances, this can take considerably longer.

Once the lender makes a loan offer, you must complete the equity release in around 50 days. If the mortgage offer expires, the lender may issue a new offer, but some of the conditions, including interest rates payable, could change.

Your supplier is CLC-regulated Mounteney Conveyancers, which charges VAT that some customers may be able to reclaim.

For acting on an equity release mortgage, we charge £750 + 0.1% of the loan + VAT.

Additionally, there may be other costs our clients will need to pay, such as search fees, land registry fees and possibly bank transfer fees. Such costs tend to be relatively modest, and we don’t apply any markup on them for processing them—you will only have to pay the exact costs and nothing more.

Find out more about our fees on our website here.

If you have any questions, require any further information, or would like to engage us (that will be on the T’s & C’s that are linked, “Our Terms”, in the footer, below) please don’t hesitate to Contact Us.

At Mounteney Solicitors, we have a specialist team of Equity Release Solicitors committed to delivering exceptional legal services. Our experts possess an in-depth knowledge of lifetime mortgages and assist clients across Manchester and Cheshire from our offices in Bramhall, Cheadle and Heald Green.

Our clients frequently return to us for subsequent residential transactions and highly recommend us to others. It is a privilege to have their confidence and trust in the exceptional standards of commitment and professionalism we offer.

We have only our clients’ best interests in mind, as highlighted through our economic fees and professional and open service. Contact us today for unmatched legal advice from our friendly and approachable team. We look forward to assisting you.

What are some pros and cons of equity release?

Equity release provides tax-free funds while living in your home but reduces your estate’s value. With lifetime mortgages, you retain ownership, but with home reversion plans, you lose partial/full ownership. It may be unsuitable if you have dependents who could be required to move out or repay the lender after your death/care home admission.

Can I take out a lifetime mortgage if I’ve not paid off my mortgage?

Yes, this is an option. However, to pay off the existing mortgage with your current provider, you must raise enough money on your lifetime mortgage.

Can I repay my lifetime mortgage early?

With lifetime mortgages, you can typically repay the amount in full, but there may be an early repayment charge; this will depend on the specific scheme, how long you’ve held the mortgage and why you want to repay. You should contact your financial adviser to discuss your options if you want to repay your lifetime mortgage early.

Is equity release regulated?

Yes, equity release is fully regulated by The Financial Conduct Authority, ensuring only regulated and approved companies can offer advice.