Equity Release Solicitors

What is Equity Release?

Equity release covers two distinct financial products available to homeowners aged 55 and over: lifetime mortgages and home reversion plans. Both allow you to access some of the equity in your home during your lifetime without making regular monthly repayments. The loan or the sale of a share of your property is repaid when you die or move into long-term care.

Lifetime Mortgages

A lifetime mortgage is the most common form of equity release. You borrow a lump sum or draw down funds from a credit facility secured against your home. Interest is added to the loan over time and the full amount, original loan plus accumulated interest, is repaid when the property is eventually sold. Many products now include a no-negative-equity guarantee.

Home Reversion Plans

A home reversion plan involves selling a share of your property, or all of it, to a home reversion provider in exchange for a lump sum or regular payments. You continue to live in the property rent-free for the rest of your life. When the property is sold, the reversion provider receives their share of the proceeds.

The Role of the Equity Release Solicitor

Equity release lenders and members of the Equity Release Council require customers to receive independent legal advice from a solicitor before completing a transaction. Our solicitors review the plan documentation, explain the key terms and risks, and advise on the impact on your estate and potential inheritance. We do not advise on which financial product to choose, that is the role of a regulated financial adviser. We advise on the legal aspects only.

Key Considerations Before Taking Equity Release

Before proceeding with any equity release product, there are several important factors to understand. Our solicitors will discuss all of the following with you before you sign.

• Effect on means-tested benefits: releasing equity may affect entitlement to Pension Credit or Council Tax Reduction
• Impact on inheritance: rolled-up interest on a lifetime mortgage compounds over time and can significantly reduce the value of your estate
• Early repayment charges: many products carry significant charges if you repay ahead of schedule
• No-negative-equity guarantee: confirm whether the specific product carries this protection before proceeding
• Right to remain: your right to remain in the property for life must be clearly documented in the plan terms
• Equity Release Council membership: providers who are members adhere to a code of conduct including the no-negative-equity guarantee

Why Choose Nelsons as Your Conveyancing Solicitors?

Nelsons is one of the largest residential property teams in the East Midlands. We hold the Law Society Conveyancing Quality Scheme (CQS) accreditation, are proud members of the Conveyancing Association, and were named Conveyancing Firm of the Year – Midlands at the LEAP Modern Law Conveyancing Awards 2024. Here is what that means for you in practice:

• Law Society CQS accredited: the recognised quality standard for residential conveyancing
• Conveyancing Firm of the Year: Midlands, LEAP Modern Law Conveyancing Awards 2024
• Member of the Conveyancing Association: committed to industry best-practice standards
• A Named Conveyancer Throughout: You’re assigned a dedicated conveyancer for your transaction, so you always know who to call and aren’t passed between departments.
• Transparent pricing: Fixed fees for complete cost certainty from the outset
• Local Knowledge, Three Office Locations: With offices in Derby, Leicester and Nottingham, we understand the local property markets we work in and offer face-to-face appointments where you’d prefer them to a phone call.

Speak to Our Conveyancing Solicitors

Ready to move forward, or want to discuss your situation before committing? Our residential property team in Nottingham, Leicester and Derby is here to help. Get equity release advice advice today on 0800 024 1976 or via our online enquiry form. No-obligation quotes available.