Mythbuster: "I can't leave an inheritance"

Can I leave an inheritance?

 
Yes. Despite common myths surrounding equity release, with some of our plans, you can. You can ring-fence a portion of your property’s future value with a protected lifetime mortgage.

Inheritance protection

 
An inheritance protection guarantee allows you to protect a percentage of your home’s future value which can be given to loved ones after you pass away. The proportion that you’ve chosen to protect can then pass to your beneficiaries when the house is finally sold, regardless of how much is outstanding on the loan.
 
For example, a couple who have £50,000 available to release and wish to ensure that their grandchildren are left with an inheritance could choose to take £30,000 (60% of the amount available) and therefore leave 40% of the property's future value protected.
 
If you do decide to take out a plan that includes inheritance protection, it’s worth knowing that if you release additional equity at a later date you will reduce the amount of inheritance you can guarantee.
 
There are a number of lifetime mortgages that offer inheritance protection. If this is something you’d like, be sure to make your equity release adviser aware.
 

What is a living inheritance?

 
If you’d like to see the smile on their faces now, you could consider taking equity release and giving a ‘living inheritance’. This allows you to give to loved ones sooner rather than later, so you can enjoy the experience with them. Many of our Key customers do this for gifts, to help through university, for driving lessons, or even deposits on first homes.
 
Get all the facts about equity release by downloading our FREE guide to read straight away. Plus, we'll post one out to you at no extra cost.

Things to consider

Your specialist equity release adviser will explain:

• You have to get advice before releasing tax-free cash from your home - please read all our information and make sure it’s right for you
• Key Equity Release offer lifetime mortgages only, which is a loan secured against your home. It will reduce the value of your estate and may affect your entitlement to means-tested benefits
• All of our plans meet the Equity Release Council standards and come with several protections, including the no negative equity guarantee, which means you’ll never owe more than your home’s value
• You should always think carefully before securing a loan against your home