USE A HOLIDAY HOME TO RAISE CASH TIED UP IN YOUR HOME - Equity Release Bournemouth

For free initial advice call:
01202 416856 or 07862 708429
Call: 01202 416856 or 07862 708429
Call Julia on:
07862 708429 or 01202 416856
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USE A HOLIDAY HOME TO RAISE CASH TIED UP IN YOUR HOME

Case Studies
CASE STUDY: MRS WILSON
Equity release can be used on buy to let properties
Here is Mrs Wilson, she is:

• 70 years old
• Her main home is an apartment in a converted Victorian house in Dorset.
• She is also lucky enough to have a holiday home in Cornwall.
•Her main residence is worth approximately £500,000.
• The holiday home is worth approximately £200,000.
THE PROBLEM?

• She wishes to raise some finance to help her 2 children who are struggling to get on the property ladder.
Her lease on her main home is Commonhold which does not fit the criteria for equity release lending.
• However, she has a second home in Cornwall which she could borrow against for equity release.
SOLUTION?

There is a range of second home equity release mortgages that will allow Mrs Wilson to release some of the money she has built up in her second property.  As with all equity release mortgages, how much she can release depends on her age, how much the property is worth and how much she wishes to borrow.  

In this case she was able to borrow 34% of the value of her second home which worked out to be £68,000, which she could share between her 2 children.

Unlike traditional lifetime mortgages (otherwise known as equity release), where the loan is secured on the main residence, a Second Home Equity Release Mortgage is secured on the second home.  Mrs Wilson could choose whether to service the interest and capital or let the interest roll-up.  Her children decided to service the loan on her behalf and they arranged that seperately.

The Equity Release Lender defines a second home that:
  • Is available for the sole occupancy of the owner.
  • If let out, must be let out for only a maximum of 4 weeks at a time.
  • Must be used by homeowner for a minimum of 4 weeks every year.


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Contact Us

Address:  7 Ravine Road, Bournemouth, BH5 2DT
Phone:  07862 708429 or 01202 416856

Julia Crump, trading as DFP Equity Release, is an Appointed Representative of TenetLime Ltd which is authorised and regulated by the Financial Conduct Authority and is entered on the Financial Services Register under reference 779271.ng
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