Daily Archives: September 21, 2012

Consumer, Consumer Information, Consumer Services, Financial Services

Equity Release Becoming Popular Retirement Fund Solution for Baby Boomers, say Bower Retirement Services

The total value of equity release advances from April to June 2012 was £224.8 million, reported the Equity Release Council, an increase of 22% on the same period of 2011. Additionally, this amount represents the highest quarterly figure since 2009 (£231.7 million). Furthermore, the real number of plans grew by 16% between Q2 2011 and Q2 2012 showing interest in the market is up, along with actual value.

According to the Equity Release Council’s figures, people are now choosing to take drawdown plans instead of lump sum mortgages. This shows they prefer to spread risk and use equity release as a retirement income. The news comes as its revealed retired homeowners now have a total unmortgaged property wealth of £756.7 billion.

Bower Retirement Services, which offers award-winning specialist equity release advice, says equity release is a simple and effective option for homeowners looking to provide for their retirement and it exploits the property price rises of the last forty to fifty years. Many in the baby boomer generation lost large amounts in pension blunders in the nineties and again in the last recession. However, thousands continue to be locked up in property, potentially providing a retirement income for homeowners.

Bower Retirement Services offers advice on all types of equity release, from lump sum lifetime mortgages to home reversion plans, and its equity release calculator is designed to help homeowners accurately gauge how much cash they can expect to release on each type of plan.

There are four types of equity release plan, but drawdown plans now the most popular, accounting for 68% of the value of the entire equity release market. Bower Retirement Services says these types of mortgage are most suitable to homeowners looking to provide themselves with an income during retirement. The lender loans the homeowners a percentage of the property’s value and also agrees to pay a regular cash sum, or ‘drawdown’ on the mortgage value. Interest is accrued, but it is not charged until the homeowners die or move into long term care. Homeowners choose the term and value of the drawdowns, offering more flexibility than a standard remortgage plan.

Via EPR Network
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Consumer, Consumer Information, Consumer Services, Financial Services

Pets In The House Can Send Bills Through The Woof

The days of pets living outside are over with nearly 90 per cent of NSW residents giving their furry friends free rein of the house, according to research by NRMA Insurance*.

Dogs and cats are definitely best friends to many, but according to Tracy Woodley from NRMA Insurance, it seems most people prefer to keep their pets indoors some or most of the time – potentially putting their pets and belongings at risk.

“We’ve seen unfortunate cases where a pet’s foot has broken from a door opening on it or where a dog has tugged on the power cord of an expensive plasma TV and pulled it off its stand,” she said. “You should keep all your special items where they can’t be reached, and properly secure electronic cords so your cat or dog doesn’t inadvertently cause havoc.”

The insurer also warned pet owners to be extra vigilant to help reduce the likelihood of injury to their pets while they’re indoors. “Keeping your pets
indoors is generally very safe but it’s far from foolproof. Simple measures such as keeping household cleaning products out of reach will help keep nosey dogs and cats safe,” Ms Woodley said.

NRMA Insurance home claims involving pets over the past year include:
– An excited dog injured itself and caused damage to the home after running through a glass sliding door
– The family cat sleeping on the stairs injured its leg after a family member coming down the stairs stepped on him
– A dog wound-up by what was on TV required a trip to the vet after jumping onto the TV unit and injuring her leg on the way back down

Should the worst happen and your dog or cat is injured in an accident, or they accidentally damage valuables in your home, the NRMA Insurance Pet Lover’s Pack can provide cover to help with vet bills and replacing your home contents**.

For more information on the NRMA Insurance Pet Lover’s Pack visit:www.nrma.com.au/home-insurance

Via EPR Network
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