Well, this is an instrument of the equity release mortgage that allows you to figure the amount you can get from a voluntary repayment mortgage option.

It’s a lifetime mortgage option that enables homeowners aged 55 and above, to unlock the equity tied up in their estate. Unlike with other mortgage option, the voluntary repayment plan allows you to repay a portion of the loan’s sum after the first 12 months, thus enabling you to safeguard your family’s inheritance and level your balance.

Instead of the interest rolling up, the non-compulsory option enables you to repay up to 15% of the initial amount borrowed per year, based on the equity release provider, with no penalties.

Well, there are several advantages to taking a voluntary repayment loan and here are some:

• You get to reside in your estate until you die or move into residential care
• You don’t have to offer the equity release companies proof of income to qualify
• The optional partial payment plans are made at the discretion of the homeowner, and you achieve this without any administrative costs or penalties
• You can opt to make payments after some consultations with your lender to make sure that the maximum limit’sn’t breached

You can figure out the amount you can release by using the voluntary repayment lifetime mortgage calculator. The instrument will require you to input:

• Your postcode
• The age of the youngest homeowner
• The estimated value of your estate

To figure out the amount you’d save over the length of your lifetime mortgage by taking the voluntary repayment plan, you need input:

• The amount of capital you want to unlock
• The interest rate of the mortgage plan you’re considering
• How much you want to repay every year – it can be up to 15% of the amount of capital you released

Your results will display your mortgage balance across various periods when you don’t make any repayments and when you do, based on the % you keyed in.

Therefore, you can effortlessly see the funds you could save through making regular repayments.