If you’ve always wanted to free up capital in order to take on an ambitious venture, then releasing your home’s equity could be the perfect way to make this happen. For those with an entrepreneurial streak, the cash generated by releasing a property’s equity is the perfect start up investment. So why hesitate? Release your home’s equity and start the business you’ve always wanted to run.
What is Equity Release?
Equity release is the means by which you can borrow money secured against your home. You can sell all or part of your home to release the cash tied up in it, often without having to engage in the stress of moving. You can then use the money as you choose, after paying off any standing debts against your home, including the mortgage. Equity release is perfect for those who have already paid off their mortgages, making it a popular choice for those over 50.
Why Choose Equity Release?
Other than generating the cash to start your own business, there are plenty of reasons for releasing the equity from your home. For those interested in replenishing their savings or creating capital that can be spent on the holiday of a lifetime or home improvements, equity release is a great solution. Pensioners often go down this route to supplement their pension income, particularly if their savings or investment portfolios aren’t yielding the hoped for returns. Older couples sometimes use equity release as a way of helping their children take the first steps on the property ladder or to pay for expensive higher education courses.
The flexibility guaranteed by releasing the equity from your home is an attractive quality of the process. You can decide whether to take the cash in small installments over a number of years or a tax free lump sun. It will give you a greater sense of control over your finances in the long term. The process of releasing equity can also assuage fears over being forced to leave your much-loved family home and downsize, as most people are able to remain living in the properties they have worked hard for over the years.