How does a RIO mortgage differ from equity release?
A RIO mortgage requires monthly interest payments, whereas equity release products (such as lifetime mortgages) do not.
What happens if I miss payments?
Since monthly payments are required, missing them could impact your financial situation. However, we can advise you on options if you face difficulties.
Can I repay my RIO mortgage early?
Yes, but early repayment charges may apply depending on your lender’s terms.
Is a RIO mortgage suitable for me?
If you are over 55 and have a stable income to cover interest payments, a RIO mortgage may be a suitable option. We strongly recommend speaking to a financial adviser before making a decision.
Can I move house with a RIO mortgage?
Some lenders may allow you to transfer your RIO mortgage to a new property, subject to meeting their criteria.
Will I still own my home with a RIO mortgage?
Yes, you retain full ownership of your home, unlike some equity release schemes.
What happens when I pass away?
The mortgage is repaid from the sale of your property, and any remaining equity goes to your beneficiaries.
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If you’re considering a RIO mortgage, let Equilaw handle your conveyancing with professionalism and expertise. Contact us today for a free consultation and take the first step towards securing your financial future.