What to expect from our advice process

Deciding to go for an Equity Release Lifetime Mortgage plan is a big decision, and it’s important to really think it through. It comes with its own set of pros and cons, and these affect not just you but also your family and the people you want to leave your assets to. Keep in mind that everyone’s situation is unique, so what works well for one person might not be the best choice for someone else, even if their situations seem similar at first glance. So, take your time and make a choice that suits your specific needs.

Our approach is all about you and what is important to you. When you call us, the first thing we do is listen. We want to understand your questions, your goals, and the reasons behind your interest in a Lifetime Mortgage. We won’t overwhelm you with a long list of questions right away. Instead, we’ll focus on what’s important to you. We may have some questions of our own, but we’ll ask them after you’ve had a chance to express why you’re considering a Lifetime Mortgage and what you hope to achieve from it. Only when you’re comfortable and your initial concerns are addressed will we dive into other important aspects to help you make the best decision for your unique situation.

Despite the upbeat ads that make getting a Lifetime Mortgage seem like a walk in the park, the truth is a bit more complex. If you’ve ever gone through the process of getting a regular mortgage or have seen someone close to you do it, you’re aware it involves multiple parties like lenders, solicitors, surveyors, and advisors. They all have to work together, and things don’t always go smoothly. To make sure everything moves along at a reasonable pace, we stay in close contact with all these professionals, and we’ll include you every step of the way.

Our standard service involves two in-person meetings, either at your home or a location that’s convenient for you, like a family member’s place. We believe that to provide the level of service needed for Equity Release planning, face-to-face meetings are essential. However, we do have the flexibility to work remotely in exceptional situations. Our goal is to work closely with you and help you achieve your desired outcome. This, we believe, can only be accomplished effectively when we meet in person and get to know each other.

We also understand that questions and ideas can pop into your mind at times that aren’t considered standard office hours. To prevent these thoughts from lingering, we provide you with a direct mobile number that you can use until 8pm every day, seven days a week. Your peace of mind matters to us, and we’re here to assist you when you need it most.

Many of the challenges that can arise during an application can be reduced through good preparation and effective communication among all parties involved. One of our initial steps is to ensure your eligibility, both for you and your property. We do this well in advance of any application submission. It involves verifying your identity, examining the property’s title, and reviewing any lease conditions if applicable. To learn more about eligibility, you can click here. Our aim is to address potential issues upfront to streamline the process.

Before our first meeting

Preparing for our initial meeting will save you time, and we want to make it as straightforward as possible for you. Just like with many other processes, you’ll need to provide some identification for Equity Release.

We recommend having at least one piece of ID with a photograph, such as a valid driving license or passport. Additionally, it would be helpful to bring a recent utility bill and council tax bill in your name, along with a bank statement showing your name and address. The utility bill should be dated within the last three months, the council tax bill for the current year, and the bank statement within the last month.

We understand that not everyone may have a current driving license or passport, but don’t worry – we can usually find acceptable alternatives for lenders.

The more we know about your financial situation, the better we can assist you. Even if Equity Release doesn’t turn out to be the right solution for you, a thorough understanding of your circumstances allows us to explore alternatives or connect you with other experts who might be able to help.

For a quick checklist of what you should have ready for our first meeting, you can click here. We want to make the process as smooth as possible for you.

Our first meeting

During this meeting, our top priority is getting to know you and understanding your goals. Equity Release is a long-term financial commitment, so feel free to ask as many questions as you’d like. Sometimes, due to interest rate fluctuations or product changes, there may be a timeframe to consider. We’ll keep you informed, but it’s usually best not to rush things. We’ll proceed at a pace that suits you, never moving forward until you’re comfortable. If we foresee a rate or product change that could affect you, we’ll notify you as soon as possible, though we often receive only a few days’ notice.

We encourage involving your family if possible, as their input can be valuable. However, if you prefer a non-family member to be present, that’s perfectly fine. Our process includes asking your feelings about having witnesses and noting their details if you choose to have them.

This meeting is mainly about gathering the necessary information to research the most suitable lender and product. The cheapest option isn’t always the best, and we’ll explain how we arrive at our recommendation.

We’ll also inquire about your health, as some companies offer products tailored to individuals with health challenges. Your current health conditions can influence our advice. Additionally, we have a responsibility to ensure you have the mental capacity to understand the proposed plan. If we believe you could be considered vulnerable due to age, medical conditions, or communication skills, we’ll prioritise your interests and needs in our dealings with you.

Applying for an Equity Release Lifetime Mortgage using a Lasting Power of Attorney is possible, but specific rules apply. You can find more details about how health can impact your Lifetime Mortgage why LPAs are crucial in your financial planning in our guide here.

Analysis and Research

After our meeting, we typically spend a few days conducting research and verifying information. One of our early steps is to check your property’s title with the Land Registry. This helps us identify any potential issues like old secondary charges or restrictive covenants. If your property is leasehold, we aim to review a copy of the lease promptly to proactively address any problems.

For those in leasehold properties, we strongly recommend providing a copy of your lease as soon as possible. While solicitors will eventually require it during the application process, having it in advance can save valuable time, especially when determining the most suitable provider for your needs.

It’s important to note that not all properties meet the criteria of all lenders. Different lenders have specific requirements regarding construction types (e.g. timber frames or concrete walls), restrictions on flat roof or garden sizes, and proximity to commercial properties like pubs or fast-food outlets. Flood history and being in a flood zone also affect lender preferences. As independent advisers, we quickly identify lenders most likely to accept your application based on our initial assessment. For more information on eligibility and acceptable property types, you can click here.

After carefully assessing your circumstances and determining that Equity Release is a suitable solution, we dive into the world of available products. Our approach at South West Equity Release is to be “whole of market” advisers. What this means is that we have the freedom to arrange your Equity Release with any provider in the marketplace. We don’t face any restrictions or limitations.

In contrast, some advisers might be tied to just one company, while others may work with a preferred panel of providers. By being “whole of market,” we ensure that you have access to a comprehensive range of options. This approach ensures that you receive the most suitable product for your specific needs from among all the providers offering Equity Release Lifetime Mortgages.

Our second meeting

During this follow-up meeting, we take time to ensure that there have been no significant changes in your circumstances, such as family situations or any new plans or ideas you’ve considered. We then delve into our research findings and carefully go through the preferred lender’s illustration. This document outlines the amounts, costs, and terms and conditions of the plan.

If any adjustments are necessary, we can address them right there, and if needed, we can also provide an alternative illustration during the meeting. If everything aligns with your expectations and you’re comfortable with the details presented, you can proceed to initiate the application process.

Application Process

Most lenders accept online applications so we can usually get confirmation of acceptance within 24 hours of our second meeting. Acceptance at that stage does not mean an offer. It actually means that the lender thinks your property is acceptable to them from what they have on an application. They then start their application process and instruct a survey, sometimes referred to as a valuation.

Surveyor’s visit expectations

The surveyor’s role is to assess your property for visible defects and its overall condition, including the roof. It’s essential to ensure your home isn’t overly cluttered, as surveyors need clear access to inspect all the main walls and rooms.

Surveyors also look into the loft, checking for spray foam insulation, signs of dampness, and the general condition of the roof timbers. In rare cases, they might request additional reports from specialists in timber, dampness, or electrical systems. During the visit, the surveyor won’t provide you with a valuation figure.

Typically, the surveyor will send their report to the lender within a few days. The lender will then use this information to prepare an offer, indicating the amount they are willing to lend.

Understanding the offer

After a successful survey, the lender will generate an offer that outlines their willingness to lend and the associated terms. This offer may include specific conditions that either you or your solicitor must meet before the deal can proceed. Additionally, it will provide an updated version of the illustration you received prior to applying.

The timeframe for completing the offer typically falls within 4-6 weeks, although some lenders may allow a bit more time, especially when specific work is required or if changes are needed in the Land Registry, such as adding or removing a name from the title.

Once the lender produces the offer, they will email us a copy promptly. In many cases, we will see the offer before the client does and will usually reach out to inform you of any conditions it may contain.

Solicitor’s role

The lender will have their solicitor who will communicate with your chosen solicitor. While you’re free to select your solicitor, it’s essential to ensure they are well-versed in Equity Release and can confirm compliance with the Equity Release Guarantee. Not all solicitors have the necessary professional insurance for this field, so it’s wise to inquire before appointing them.

We have a panel of specialist solicitors who offer our clients a fixed fee service. These panel solicitors are independent and exclusively represent you. They provide home visits as part of the fixed fee, saving you travel and parking hassles, especially beneficial if mobility or health concerns make travel awkward. It’s important to note that we don’t receive any benefits from the solicitors we recommend.

Your solicitor will receive a copy of your offer and will correspond with you regarding the legal aspects of the plan. Equity Release is a well-established financial product, and it’s a tried-and-tested contract. You’ll need to return a copy of their report along with other required documents. Once received, your solicitor will arrange a face-to-face meeting.

Meeting with a solicitor in person is a mandatory requirement and serves as a safeguard. The solicitor ensures there’s no undue pressure from anyone else to release funds from your home. If all progresses smoothly, your solicitor will ask you to sign the mortgage deed and prepare a file to be sent back to the lender’s solicitor. If everything is in order, a completion date will be set for the release of funds.

Completion

Typically occurring six to eight weeks after your application, completion is a crucial step in the process. On this day, funds are transferred from the lender to their solicitor. If there’s an existing mortgage or any secured charge on your property, it will be repaid from the released amount. For instance, if you applied for £50,000 and had a £25,000 Halifax mortgage, the Halifax would receive £25,000, settling their charge on your property. Simultaneously, your Equity Release lender registers their loan on your property’s title at the Land Registry. The remaining £25,000 is sent to your solicitor.

Your solicitor will then usually deduct their fee along with our adviser fee and forward the balance to you. If the application is in joint names, your solicitor will typically require a joint account to disburse the funds unless the other partner provides explicit permission. As a common practice, your solicitor will usually contact you the day before completion to inform you about the process and to confirm, one final time before you receive your funds, that you’re comfortable with the arrangement.

Our stages of service

Listen to your enquiry	Right from the start, you tell us what you want to achieve. Everything we do from that point is focused on getting that end result for you
Title check	We ask your permission to do a title check with Land Registry. This will tell us how the property is registered, what charges (if any) are on the property and whether there are any restrictive covenants or other conditions that would need to be taken into account when applying for a Lifetime Mortgage. Doing this at the start of the process can save a lot of time.
Look at lease	Where there is a lease, the earlier we can look at it the better. If there are any conditions on there that would effect a lender’s decision then it is always best to discuss them with the lender at the earliest opportunity
Flood check	Lenders will always carry out a flood check, so we do one first so that we can be confident that the property will be accepted before we submit an application on your behalf
	This stage is usually completed at the first meeting
Complete a report of your current situation in a document known as a Fact Find	This is where we find out more about you, your circumstances and what it is that you want to achieve. The more we know, the better placed we are to give you the most suitable advice. To make things easier for you, we always send you details of the things we are going to ask, so you will always have the opportunity to get things ready in advance.
Explain why wills and LPA’s are important	Taking a Lifetime Mortgage impacts on other areas of your life, and has consequences for your family and/or your beneficiaries. If you haven’t made a will or put an LPA into place, we will briefly explain why doing so is almost always a good idea.
Verify ID	This is a regulatory requirement. We do not take any originals away as we can take copies of the documents we need in just a few minutes.
Building insurance check	As with any mortgage, the lender will need to know that your property is insured properly. In the case of a leasehold property they will need to know about the buildings insurance that is in place by the freeholder.
Explanation of the difference between a high street solicitor and a specialist Equity Release solicitor	You will need to have a solicitor in order to take a Lifetime Mortgage. You are free to choose whichever solicitor you wish, however there are a few that specialise in this area and carry the permissions to carry out this type of work. We can recommend from a number of specialist solicitors that we often work with but the final choice is up to you. We do not benefit or take any benefit from the solicitors we recommend.
Whole of market research	After the first meeting we take all the information gathered and research the whole of the market to find a plan that suits your needs. There are several hundred to choose from and as well as the interest rate, there are many terms and conditions to consider. It is not always the cheapest that will be recommended. But it will be the one that presents the fairest value taking into account your needs. We will then write up our recommendation in plain English, ready to present to you at our second meeting.
Benefit check	Part of the research includes doing a basic benefit check. Taking a Lifetime Mortgage can affect your entitlement to means tested benefits. If we think this is a possibility for you, we will tell you what the benefit check has shown before we proceed any further.
	This stage is usually completed at the second meeting
Our recommendation	We will go through what recommendations we think are suitable for you. We will double check the information we have used to get to the recommendation and take you through the illustration that we would have prepared. If necessary, we can make any alterations while we are with you.
Summary of other areas you should look at	We are not authorised to give advice in any other areas of financial planning other than Lifetime Mortgages. However, if during the process it becomes apparent that there are other areas that you should look at, we will highlight them and suggest that you seek appropriate advice.
Submit and progress your application	Only when you are happy to proceed will we then submit an application. We will then monitor and assist it’s progress through until completion.
	General matters
A Standard Fixed Fee Package	It typically takes 20 hours from initial enquiry to completion for a standard Lifetime Mortgage. This includes everything detailed above as part of our fixed fee package. In addition it also includes: · We don’t think you should wait too long if you have something on your mind that you wish to discuss. So you can call us 7 days a week between 8am & 8pm; · We will be happy to talk with members of your family or your nominated representatives as long as you have given written permission for us to do so; · Unlimited calls, video calls, emails as and when needed or required during the enquiry to completion process. Liaison between all the professionals involve in the application and regular updates on progress.
Complex cases	Most cases are dealt with under our standard package, but we are also experienced at successfully concluding the more complex cases that require additional resources such as, but not limited to, more than two visits, liaison with accountants and other professionals such as solicitors in divorce and separation matters, preparation of additional. If yours is a complex case then talk to us and we can agree a fair fee for the work that is required.