Pros of Equity Release
Tax Free Money
Money available, usually tax free, as soon as the deal is completed at the Notary.
No rent to pay. No ongoing interest to be added.
Start Your Retirement Today
Your lifestyle does not need to change. Only your bank balance.
Keep Living in Your Home
You keep the house that you have invested time and emotion in to for the rest of your days.
Heirs and Taxes
Heirs do not need to find Inheritance taxes, up-front, before they inherit!
Government cannot sell your house to pay for your health care.
Cons of Equity Release
We always recommend that you discuss this with any potential heirs – we do not want to cause family issues for you.
You don't own the Freehold
You no longer “own” the property – you only “own” the rights to use it
Sale with Discount
You sell at a discount – outright sale would bring you more money but then you would need to source another, possibly inferior property, or rent one. Even a modest rent of €500 per month is €60.000 over 10 years.
- This is not a financial transaction. It is a lifestyle choice.
- Do your research:
- Talk to your lawyer
- Google “Usufructo” etc, etc,
- Get things really straight in your minds how you want to spend your “twilight years
- Take your time
- This is a massive decision for you to make
- Probably your biggest remaining asset
- Probably your last big financial decision