MARK WAINWRIGHT BCS CEMAP CERER
After finding success at management level with the department of Work and Pensions and then as a Philological Specialist within the National Offender Management Service I recognised the consistent growth of Equity Release; I took my CeMap and CeRER exams to qualify me to provide mortgage and equity release advice.
On completing my qualifications, I gathered significant experience with Key Retirement’s highly skills staff; before moving over to Age Partnership. I furthered my professional development here with their highly regarded advisors. Deciding to move to a self-employed role to deliver better service and flexibility for my customers.
I’m supported by my fantastic family. Rachael, my wife, is an amazing artist drawing hyper realistic images on a self-employed basis. My Son, Jake aged 5, keeps me on my toes. We do as much as we can together. He loves anything exciting; and I love doing it with him. I am extremely proud of this little man.
Luna is the newest member of the family. She’s a super soft American Bully. She fits right in and has the patience of a saint when it comes to Jake. She’s still a bit of a pup, only being just over 1-year-old; but she is a good girl.
Operating my own company allows me to balance my work and family. I am able to arrange appointments around my family and customer's needs; working outside normal business hours giving me the best of both worlds, and my customers a reliable service.
A BRIEF HISTORY OF EQUITY RELEASE
Modern Equity Release is a highly regulated mortgage activity for over 55s to take money from their homes while still maintaining the full benefit of their own home. Simply put, it’s like a normal mortgage that you don’t need to pay back until you pass away.
The first iteration of Equity Release, also known as a Lifetime Mortgage or a Later Life Mortgage; saw high interest rates and some questionable practices by the advisors selling. Tight regulation has significantly reduced the risk of Equity Release and strong competition in the market has massively improved the interest rates and features offered.
Though some banks participate within the market the majority of funds for Equity Release come through insurance companies such as Aviva and specialist Equity Release funders such as Pure Retirement.
There are still unregulated Equity Release plans that can be accessed, however I only recommended regulated plans; simply to guarantee the protection of the FCA to my clients.
SHOULD I DO EQUITY RELEASE?
This is not a question I can answer for you. It’s down to you and your family. Equity Release can be a fantastic way to increase your funds, pay off debts, treat the family or any number of things. However, if you don’t make payments then the interest will compound and there will be less inheritance for your loved ones. It would be my job to understand what you want from Equity Release, match this to a plan and deliver the information to you in a clear and objective way. From there, you can take your time and decide if it’s for you or not. There is no pressure.
COMPOUND INTEREST AND INHERITANCE
When considering Equity Release I will give you an assessment of how the debt would build up over time, should you choose to not make payments, and how this might impact any inheritance in the future. If you have a set amount you want to leave, just want to leave as much as possible or not bothered about leaving anything; I will find a plan that suits your needs.
WHAT FEES I CAN EXPECT
I will provide you at least two illustrations. One with fees added and one without. This will help you decide whether you want to pay the fees out of your own funds or whether you want to add them to the release.
ADVICE FEE: £795
I promise that the advice fee that you are charged will never be more than £795; and you only pay on completion.
Charging an advice fee is important. It enables advisors to be impartial and objective in recommending products. Some companies don’t charge a fee, but they are tied to one lender meaning they look at a small fraction of the market, potentially costing you more money in the long run.
Other companies charge significantly higher fees to cover the cost of their marketing budgets and big buildings.
Solicitors are a mandatory part of the Equity Release process. they will double check your understanding of the plan and ensure that you are releasing the funds because you want to.
For most Equity Release cases the Solicitor will cost around £650. However, where solicitors have to do additional work there can be additional charges.
You can choose your own solicitor or I can suggest one for you. If you use the suggested solicitor then they may also operate a "no completion no fee system".
Most plans have no additional fees; however, some plans might. I will always tell you any fees that are associated with the plan.
Surveyors: most surveyors are free and all plans will require your home to be inspected by a surveyor. If there is a survey fee it normally changes depending on the property value; you may also get a free survey for your first application but have to pay for future surveys if you didn’t go ahead.
Completion fees: some providers can charge a completion fee. This normally covers some of the administration costs in putting the plan together.