Home Reversion Plans

With a home reversion you sell all or part of your property to a reversion company in return for a tax free lump sum, a regular income or both. You no longer own your home but continue to live there as a tenant of the reversion company. Usually no rent or a nominal amount is payable to the reversion company. The home is sold if you die or move into long term care.  

The older you are when you take out a home reversion the larger a lump sum you will be able to get. Once this type of scheme is started the home reversion company will benefit from any increase in the value of the property.

Home Reversion schemes can be quite complex and it is important to obtain independent legal and financial advice prior to entering into this type of arrangement.

Equity Release can affect you entitlement to benefits such as Pension/Savings Credit and Council Tax benefit. It can also affect your tax position and the amount you are able to leave to your beneficiaries.

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Think carefully before securing other debts against your home. Your property may be repossessed if you do not keep up repayments on a mortgage.

Equity Release refers to Home reversion plans and Lifetime mortgages. To understand the features and risks ask for a personal illustration.