Advice for Retiree

Archive for the month “December, 2012”

The Calculator Comes as the Much Needed Help

The life post-retirement is one life that almost everybody envies because that life is absolutely stress-free. It is a life where you don’t have to deal with the office challenges; you don’t have to meet deadlines or targets, a life where you don’t have to worry about your child’s academics or their future and most importantly a life without having to worry about making both ends meet. You have reached that phase of your life where you are happy seeing your children lead a happy and successful life and all that you do is play with your grand children. But life is not that good a fairytale also! One reason that almost gives sleepless nights to people post-retirement is that there is no steady flow of income.

The one stop solution for people having this problem post-retirement is equity release. If there are a few people who are still not aware about this then let us first know what is equity release.

  • Equity release is a kind of scheme that people can apply for post-retirement and only after they have reached the age of 55.
  • Equity release is a way of drawing a certain amount of money based on your property.
  • But it is important to remember that you can apply for equity release provided you leave no heir for the property.
  • The good news is that even after giving your property on equity release you still enjoy the ownership rights of your home.

Now that you have a clear idea as to what equity release actually is it is important for people to know that various schemes are available to suit your preference and needs.

Life post retirement has indeed become a pleasant one. It is important for people to have a fair idea about the various kinds of equity release schemes, the benefits of these schemes and most importantly the return from these schemes. To help calculate the rough figure of the returns from the schemes the equity release calculator gives the much needed help to people. All thanks to the virtual world today online equity release calculator is readily available for the people to calculate the kind of return they might get from the various equity release schemes. The online equity release calculator is one of the most recent offerings for the people all for the common cause of the benefit of the people.

Pay Less and Earn More in the Long Run from Equity Release

As per the existent market scenario, equity release schemes which have been helping millions of seniors achieve a desired flow of income from the cash value of their property, are now offering lesser rates, which means the elderly population can actually save a huge amount on whatever they pay. Nowadays anyone who has already opted for a scheme at surging rate can make a switch. Yes, retired home owners can now look for enticing deals on equity release and economically strengthen their future.

Reports of interest rates of equity release schemes experiencing a fall have become widespread. Stonehaven, a popular equity release provider has already curtailed the rates from 6.08 to around 5.98. It has also been seen that interest rates have fallen by a percent since last year. Though initially the change may seem trivial to our naked eyes, still it will help reap massive in the long run. Earning lump sum in the long run can really make a difference.

Equity release schemes are the most sought-after financial plans reigning over the retired community. The schemes are specially meant to access the tied up value of one’s property. One of the most popular schemes that have managed to reign over the market is the lifetime mortgage scheme. Under the lifetime mortgage scheme, the rate of interest remains fixed and the home owner earns a regular income till the time he dies or is shifted to long term care.

The interest is basically calculated as a rolled up sum; however borrowers can also opt for deals that allow a consumer to pay interests on a regular basis. The loaned amount is repaid from the sales proceed after the property is sold. However, recently experts have been suggesting the borrowers to make a move and opt for other lenders in the market. However, it is also important for them to ask financial experts about the dos and don’ts involved and to know if a switch may actually come to their rescue.

Additionally borrowers who are agreeing to such change should actually beware of any early repayment fees; such early repayment fees can actually deprive people from deriving any benefits. Nowadays home owners can avail these super beneficial financial schemes at 55 years or above. Furthermore an expert has recommended that unless a borrower has strong reasons to withdraw the cash at an earlier date, the person should wait till the time he/she steps into 60. To know more about retirement plan with equity release schemes one should rely on experts who have knowledge about the market.

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