Safe as houses?

12:46pm Saturday 5th July 2008

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I READ with interest your article (OAPs urged to sell, The Press, June 30) and felt that there are many things to be considered before entering into equity release, and the decision to do this should not be taken lightly.

I can speak with first-hand knowledge on this subject as I did an equity release scheme four years ago and, believe me, it’s not for the faint-hearted and does take time in setting up.

This procedure requires a survey on your property from an independent source, which is quite costly, running into a few hundred pounds.

What is needed here is a surety that the house owner will receive the full market value of their property and not be sold short. And this is why you should only deal with a mortgage lender or bank who is involved with a Safe Home Investment Plan. They are an independent body who act for the homeowner, and make sure the agreement is safe, and the value is correct. Without this service you should not proceed.

City of York Council is planning to build new apartment blocks and terrace houses to home the ex-homeowners, no doubt with some form of rent. Would this be at a much reduced rate? City of York Council would certainly be getting the better deal, but then again, doesn’t it always?

I would urge anyone considering this scheme to think about it very carefully, and do seek legal advice.

K Jenkins, Huntington Road, York.

*I was surprised to read the article entitled “OAPs urged to sell” (The Press, June 30). It would be nice to know how we are supposed to do so when buyers are just not around. I would like to downsize, but after several months of trying there has been no sale.

Does the council have a magic formula for this problem or is it just completely out of touch with the present situation in the housing market?

As for “freeing up larger houses”, there should be no trouble in finding some for sale.

Jean Frost, Elmpark, York.