Stonehaven Equity Release is a specialist website that advises on the various lifetime mortgage schemes they have available. There are predominantly two forms of equity release plans that Stonehaven has to offer, which are the roll-up and interest select plans. They are both two forms of lifetime mortgages. Roll-up equity release plans are where a capital lump sum is taken & no monthly payments are made. Consequently, the interest rolls up each year and compounds accordingly.
The Stonehaven Interest Select plan is effectively an interest only lifetime mortgage where the applicant makes a monthly mortgage payment that pays off the interest. There is also the facility where instead of paying off the whole interest charged, the borrower can elect to pay back just part of the interest starting from £25pm. With this particular equity release scheme, the balance remains level throughout the term of the mortgage.
Stonehaven Equity Release has independent financial advisers who can discuss your options. For instance, if you want a relative to inherit the property, the adviser will tell you which lifetime mortgage is the best choice. Since they just lend to people age 55 and older, the minimum mortgage amount you can receive is just £10,000. The amount you can borrow is determined by how much your property is worth & the age of the youngest person on the deeds. Stonehaven currently have a minimum property value of £70,000.
When you receive the tax free cash upon completion it can be used for anything that you wish. Most retirees use the money to help them get by since they struggle each month with their bills & general expenditures.
Getting a roll-up lifetime mortgage may be an option if you do not want to have a monthly payment. The interest accumulates, but it does not have to be repaid. In fact, it is only repaid in full once you pass away or move into a long term care facility. At that point the property is usually sold with the beneficiaries having 12 months in which to complete the sale.
Right now, the two plans are currently available in England and Wales only. You can elect to receive the maximum value on your home, however this is always not the best option & you should only withdraw the amount you are likely to spend over a fixed period. That way with an interest only lifetime mortgage, you can pay the interest back sooner. This may be an option for you when you are thinking about your children. If you want to pass the property down to your loved ones, an interest only lifetime mortgage is usually the best option. However, always ask your equity release adviser about your options available as Stonehaven equity release is just one of the many pensioner mortgages on offer.
