No matter how much you love your current home, committing to it for life can be difficult, especially if you have plans to visit other areas of the world. When taking out an equity release plan, this doesn’t actually stop you from moving home, giving you a range of option for your future whilst never having to worry about your equity plan.
Moving Home With Equity Plans
All plans that we advise clients on are approved by the Equity Release Council, guaranteeing you have the right to move your plan to a new property if necessary. However, your new property will have to be acceptable to your lender and meet certain criteria, which will always be discussed with the lender prior to moving home or choosing that equity plan.
If you choose to downsize to a smaller and less valuable property that isn’t acceptable to the lender, there may still be a plan that protects you. This should allow you to repay the outstanding loan without early repayment charges, whilst being able to downsize. Downsizing protection is also available which ensures, regardless of why you are downsizing, you can pay the loan back without charges, typically after the first five years of equity release.
We can always find a plan with downsizing protection if this is important to you, preventing any repayment charges from being made early.