Home Reversion Plan
Often referred to as a lifetime lease you get to live in your home rent free either for life or until you move into permanent care.
Home reversion plan. A home reversion plan sees you selling a stake in your property in return for a cash lump sum. By selling a share of your property you become a co owner but continue to enjoy the right to live in it for the rest of your life. If you sold the entire property to them they will get all of the proceeds.
Home reversion plans function as an alternative to the more standard products available in the equity release marketplace. They could have major implications for tax benefits inheritance and your long term financial planning. Furthermore the provider will pay any stamp duty due on the initial amount released during home reversion.
You surrender a percentage of your property in exchange for a sum based on its current value but the ultimate cost is based on its price at the end of the deal. A home reversion plan is tax free in that no tax is due on the lump sum when you receive it from the provider. The homeowner is still allowed to stay living in the property and never has to pay rent.
A home reversion plan is a type of equity release scheme where part or all the homeowners property is sold to the plan provider in exchange for a tax free lump sum or regular payments. With a home reversion plan you agree to sell part or all of your home in return for a tax free sum of money. With a home reversion plan you sell all or part of your home in return for a cash lump sum a regular income or both.
Home reversion plans are high risk products. A lifetime tenancy is then created protecting the homeowners residency and freedom to live in their home rent free for the rest of their life. When your home is eventually sold the reversion company gets their share of the proceeds of the sale.
A home reversion plan is when you sell part or all of your property to a provider which pays you a tax free lump sum in return. Releasing equity this way allows you to access the money tied up in your home with no need to make repayments. This lump sum is significantly less than the market value of your.