UNLOCK MONEY
Home reversion/equity release – not as good as it sounds?
Traditionally many people have seen home reversion or equity release schemes as an easy way of releasing equity that is locked into their property. These schemes usually allow you take a lump sum or an extra income from a lender by selling your home to them.
Until recently this was the only option available to anyone who had equity locked into their home, but many more people are now considering selling their property to a home buyer like us at HBFS who are able to offer a full range of simple and easy to understand financial products, including a sell and rent back scheme. With this scheme we believe that we are able to offer a far better all round package than traditional equity release or home reversion schemes.
While this may on the face of it seem existing equity release or home reversion plans may seem like a simple way of releasing cash from your home they are not without their own pitfalls:
Difficulty in understanding policies
While there are many companies, with many more policy plans, offering home reversion and equity release schemes there are no specific guidelines as to how they should operate. It can be a very daunting task to try and understand the complexities of all of the various products on offer before coming to chose which one is right for you. With our sell and rent back scheme things couldn’t be simpler we explain everything in plain English from day1.
Hidden charges
Many companies charge a set up fee, typically 1.5% to 2.5%. They may also charge you a valuation fee. At HBFS we charge no fees whatsoever. We cover the cost of everything associated with the sale of your property (including your solicitor’s fees). That way the price that is agreed for a quick house sale from HBFS is the amount you will see on completion of the sale.
Your age and sex dictates how much you will receive
As these plans are normally aimed at the older generation the amount of money you will be offered will depend on your age and also your sex (this gives an indication of your life expectancy). At HBFS we base our offer purely on the market value of your property and your age or gender has no bearing on this offer whatsoever.
You will only receive a percentage of the value of your home
With traditional equity release/home reversion schemes you would typically expect to receive around 30 – 50% of the value of your home, the rest being swallowed up as profit by the lender. However if you sell your house to a property buying company like us at HBFS we can, in most cases, offer you a far greater percentage of the current market value of your property as well as offering a complete range of financial products including our sell and rent back scheme.
With all of these problems in mind, we believe that a guaranteed fast cash sale of your home with HBFS will help to overcome the risks and uncertainty associated with existing home equity loans. This combined with our range of easy to understand products means that at HBFS we are confident that we have a solution to all your financial problems whatever your situation.
Call Now On
0800 043 4133
