Equity Release Calculations...

I have seen equity release calculators or related tools on a few websites, which are of more or less sophisticated nature.

I wondered how these tools work: what are the factors that they take into account?

As I understand it each provider has slightly different rules for what they will consider for equity release such as the age of the participants and the value of the home and so on so it would be interesting to know what the baseline figures are for these calculators.

Re : Equity Release Calculations

My own thoughts is that they probably are very simple tools: they just look at the age of the person and what their property is worth and how much they want to release.

As long as you are not too old, as long as your house is worth a reasonable sum, and as long as you don't want to borrow a huge amount of it, then I think as far as I know you would be considered for equity release by a lot of providers.

What I think would be more useful, which not all calculators do (I don't think the one here does for instance), would be if they then handed off to someone for more information or to talk about the possibility of equity release in more detail.

Re : Equity Release Calculations

Hi Geoffrey

Yes that's pretty much where I was coming from too. Still I guess they could be useful as a very rough indicator though I would recommend that people who are considering it actually look into the requirements of each financial institution that offers such services rather than just taking at face value the result of calculators (I know they all say that they are a guide only which is of course fair enough!)

It would be a good idea if they sent it off to a company who actually offered equity release though