During their yonger years, most pensioners spend time working and at the back of their minds are planning for their retirement. Possibly due to work commitments they did not get the opportunity to fully indulge in their hobbies or go on selected vacations. Retirement is the perfect opportunity for them to be able to do all the things that they missed out on. Retirement can have a positive aspect & for many it is the perfect opportunity to fulfill their dreams.
Lately, we have seen that many pensioners are not able to enjoy their retirement due to the fact that their retirement funds and savings are not sufficient to meet their daily needs and to allow them to indulge in leisure activities. There is now a solution for pensioners who own their property.
The fact is that pensioners who own a property have equity within its bricks & mortar. They cannot normally make use of it because it is tied up within their property. In the past, many home owners did not know how to release equity from their property. They would have to sell their property, downsize which may not have been their weapon of choice and use the money to finance a smaller property. With the advent of equity release schemes, it is now possible for home owners to release equity from their property without having to move away from their home.
Homeowners have two options when it comes to equity release schemes. They can choose to obtain a monthly income or one large cash amount from equity release providers. Either amount can be received without having to move away for the property. Home owners can choose to apply for a loan or they can choose to sell their home. This is where independent financial advise is imperative as a wrong decision now can cost the beneficiaries £1000’s
Once home owners are able to release equity from their property, they can use the money for a number of things. First of all, the money can be used on luxury items such as going on a worldwide cruise or going on a dream vacation to visit their children in far flung areas of the globe. They can use the money to improve their homes and to invest in convenience items in the home to make their retirement period enjoyable. They can choose to use the money to help their children or grandchildren who might be in need of financial assistance such as a deposit on their first house. Many pensioners finance the education of their grandchildren using the equity released from their property which gives them that head start. Who says an early inheritance is a bad thing!
Whatever the financial need, equity release & lifetime mortgage schemes offer that breath of fresh air that many pensioners need as they struggle through retirement.