How To Guides
- Childbirth & Education
- Legal Formalities
- Pensions & Benefits
- Property & Accommodation
Did you know...?
...you can learn Spanish at a variety of locations across Spain, online or residential and day courses in Spain?
Regardless of your standard, and whatever level you wish to reach Don Quijote has a program to suit your needs!
- Airports and Airlines Spain
- Paramount Theme Park Murcia Spain
- Corvera International Airport Murcia Spain
- USD weekly currency update- 22 July 2016
- When Expat Eyes Are Smiling
- Meet Wincham at The Homes, Gardens & Lifestyle Show, Calpe
- QROPS 2014
- Spain Increases IHT in Valencia & Murcia
- Removals to Spain v Exports from Spain
- The Charm of Seville
- Gibraltar Relations
- Retiro Park : Madrid
- Wincham announce opening of Marbella office
- Community Insurance in Spain
- Calendar Girls
- Considerations when Insuring your Boat in Spain
- QROPS – HMRC Introduces changes that create havoc in the market place
- QROPS – All Change From April 2012
Equity Release in Spain
The idea of equity release in Spain is still a relatively new and interesting concept that allows homeowners to release some of the capital tied up in a property that may have greatly appreciated in value in the time since they bought it. The released capital is then invested in a product that generates an extra income and at the same time, allows the homeowner to remain in the same property.
The way this works is that a specialist company takes a stake in the property and becomes a joint owner, while others arrange a loan on a mortgage type basis. Upon death or when the house is eventually sold, part of the proceeds goes back to the specialist company or lending institution.
Though this is, in principle, an interesting product, its early history has attracted some misunderstandings. When the company purchases a portion of the property, often set at 50 percent, it is entitled to 50 percent of the selling price - even though the property value may have trebled. In the case of a mortgage type basis, the income on the investment product that provides the extra income must be sufficient to pay the interest on the mortgage. This lessens any income potential and if the product has an equity base, then this may have even more adverse erosion on the capital and income potential.
Maybe you wish to release equity on a Property that you own in the UK to finance a new life in Spain , or provide you with a better standard of living ?
To learn more about equity release and to see if your property is suitable to provide you with some additional income, why not contact our Equity Release specialist for a free, confidential and no obligation chat?
- Where to get Legal & Professional Advice in Spain
- Can I Reclaim Any Capital Gains Tax I May Have Overpaid ?
- Getting your utility bills online
- Benefits in Spain and 'La Ley de Dependencia'
- When you canít pay the Mortgage
- Can I claim UK benefits if I am widowed in Spain ?
- Lifetime Loans & Equity Release