Here We Look At How To Turn That Asset Into Cash.

People who own their house or flat have an enormous advantage when it comes to borrowing money.

They can use their property as security for the loan. That means that if anything terrible happens and the payments are not met, the lender has the right to make you sell your home and pay them back out of the proceeds. So it's a procedure to use with care. But as you get older, you can use the security of your home to borrow larger amounts and guarantee full repayment on your death. While you continue to live, you just repay the interest on the loan.

There are two main ways in which such loans are used. The first is to raise capital, normally to pay for repairs to your house. These so called 'maturity loans' are described earlier.

The second, strangely, is to boost your income. There are two main ways in which you can use the capital value of your home to boost your income, both available only to older pensioners.

Other pages of interest - Retirement Annuities

or Money You Borrow

Retirement Annuities

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