Project Description
This case study is for illustrative purposes only and does not constitute advice.
Your home may be repossessed if you do not keep up repayments on your mortgage.
Equity Release will reduce the value of your estate and can affect your eligibility for means tested benefits.
How did Paul and Carol find us?
Paul and Carol Barnstaple already had an equity release mortgage in place on their property with Aviva with an interest rate of 7.49%. They were concerned about the rate of interest being ‘rolled up’ within the loan. Having had an initial meeting with them, I discovered that to redeem the mortgage would cost an early redemption penalty (ERP) pf £7,500. I admit I left their house thinking we couldn’t help them.
What did we do for them?
Back in the office, I searched for possible options and discovered a new loan at just 4.63% that would incorporate the Aviva ERP. It would take just four years to recoup the £7,500 with the lower interest rate considered. Paul and carol were delighted with the outcome and answer to their concerns.
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