Home Equity Mortgage

A equity release mortgage is a mortgage taken out on the part of the property you own that is free of financial obligations. Either you want to cash in on the added value that your property has gained during a price surge period or want to capitalize the paid off portion of your existing mortgage. There are a few elements you have to consider carefully. 

Typically, you would have the same choices of repayment type, interest rate and mortgage duration as with other types of mortgages with a few subtle differences.
 
Since people resort to equity release mortgages at a later stage in their life it is important to chose a equity release mortgage that has a negative equity guarantee, meaning that if the property value drops, so will you your debt.

One other thing that you would want to make sure of is that by the clauses of the mortgage you and your spouse will be able to continue ownership of your property until your death and that following a liquidation the debt will not be transferred to your surviving relatives.

As with all mortgage we advise that you take great care in your choice of lender and consider the long term effects of interest rate and associated fees.