Although the markets for equity release mortgages are still doing well, many experts are dispensing mortgage advice to seniors that this may not be a great idea. They urge caution and seeking professional mortgage advice before proceeding with any change in their home mortgage. Without the proper mortgage advice, many could end up losing their homes. While equity mortgages are performing well, this is not a loan that anyone should rush into without thoroughly investigating it first, to minimize the chance for future problems. This is particularly true for seniors and those that are already retired, since it could have a permanent impact.
David Knight, analyst at Moneyfacts.co.uk commented, “Retired homeowners, who are the mainstay of the industry, have seen the value of their property shoot up over the years and have accumulated a large amount of equity in their properties, despite recent price falls. With rising inflation eating into often fixed retirement income, a further rise in the popularity of these products seems likely.”
“This is not a move that should be taken lightly so it is essential that anyone looking to release equity from their home seeks advice from a qualified adviser before doing so.”
Related reading: Mortgages Advice
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