I entered into a lease for a piece of equip. for a home based business. the lease was a very basic lease including leasee, cost of equipt, term of lease/rental payments, taxes, lease end purchase amount, guarantors, other conditions(noprepay penalties), and doc fee, thats it! so do i need to worry or can I just ask to return the equip. I cannot do anything with it at this time due to illness. I am behind and I paid a first and last. what other fees can they charge me if I surrender the equip. they are in Illinois and I am in CA
Posts Tagged ‘Release’
Babysitter will not release a passing father’s 15 year old child to mother out of state because she……?
10
May
wants legal custody of child to gain access to her father’s pension and annuity. She has brainwashed the child against her entire family tree so she can keep her close at hand. At one point the childs mother that lives out of state came to try and take her home. The mediator wanted to know how the mother and child felt about this but the mother said she never even had the chance to talk to her daughter because the babysitter hasn’t given her a chance to even talk to her. The mediator suggested that to have the babysitter allow the child to have lunch with her mother but then the babysitter never followed through and even told the mediator that she didn’t have to allow the child to have lunch with her mother to talk to her about the situation. My question then is with the child being 15 and willingly wanting to stay with the babysitter…..how do you get the child removed for evaluation of being brainwashed by the babysitter. To top things off the child had a horrible relationship with her father and there is suspected foul play on the child’s end that maybe she contributed to his death. The babysitter we think might have encouraged something to gain access to her father’s accounts. So far we can not seem to remove the child from this babysitter. She needs to be removed from this woman’s house so we can evaluate her to see if foul play was made on her father. With the child being away from the bsabysitter we can also see how aggressive the babysitter becomes to wanting access to accounts. So far the babysitter has called his employment wanting every detail of his accounts. Hours after his admission in the hospital the babysitter got in his house and took his wallet, keys and financial papers. We can’t help but smell a rat here. Please if anyone can give advise send it our way.
charles…..the police were involved. my husband which is the childs uncle tried to take her home with us and retrieve the wallet and keys. when the babysitter said no way we called the police and they said it would be a civil matter. this did go to court and the mediator suggested to have the babysitter release the child to her mother for lunch to discuss the situation. the babysitter backed out of dropping her off at applebees which was the arrangement for lunch.
steve….the mother lives in florida. it took a little time for her to get to ohio to try and be with her daughter.
his employer did not give her info on his pension….etc. she did try though.
Equity Release Explained
23
Nov
What exactly is Equity Release?
The equity or value in your home is its open market value, minus any mortgage or other debt you have secured against it. Equity Release is a way of accessing the cash tied up in your home, without having to move out.
How do I get my money?
You usually receive your money as a cash lump sum, to use as you wish. This varies from plan to plan, and differs depending whether you opt for a plan that provides cash upfront, or an income plan.
Equity Release — Key Facts
- To qualify for Equity Release, you must be over a certain age. Age limits vary between companies, but for individuals in the UK you must be at least 50 years old
- You can get a cash lump sum, regular income, or both, to use as you need
- You can continue to live in your own home
- You may continue to be responsible for the maintenance of your home
The two main types of Equity Release product are Home Reversion Plans and Lifetime Mortgages.
HOME REVERSION EXPLAINED
What is Home Reversion?
A Home Reversion Plan allows homeowners to release a lump sum from their property, without concerns over future house prices, or the effects of roll up interest.
How does it work?
With a Home Reversion Plan (also known as home income plans) you sell all or part of your property to the plan provider. In return you get a cash lump sum or income. As you are selling your property in exchange for the equity released, the plan provider is taking the risk on future house prices.
Your home, or the part of it you sell, belongs to the buyer or reversion provider, but you are allowed to carry on living in it. This means you will be selling the legal ownership of your home but will be guaranteed the right to live there for as long as you wish, by way of a lifetime lease. In the case of joint applications, this is applicable to both parties, so that both your interests are fully protected.
The complexities of each scheme vary; for example you may be expected to remain liable for repairs to the property, or there may be restrictions that apply.
Your age is a primary factor in determining the allowable percentage released on the survey value of your home. Other factors, such as your gender and the estimated future value of your property, will also be taken into consideration.
Any secured loans or mortgages must be paid off on the sale of your house, so a Home Reversion Plan may be unsuitable for anyone wishing to leave the equity in their property as an inheritance for their next of kin.
Is it right for me?
A Home Reversion Plan can be a useful way of releasing equity from your home, especially if you do not want the stress of moving or downsizing, but you must be sure that it is right for you and suits your particular circumstances and needs.
It is important to remember that with Home Reversion you no longer own your home (even if you only sell part of it). Depending on the particular plan, you may have to maintain the home while you live in it. You’ll also be under a secure tenancy, so will have to follow all of the terms of the lease. If you choose a rent-back option, you will have to make regular rent payments.
LIFETIME MORTGAGES EXPLAINED
What are Lifetime Mortgages?
With Lifetime Mortgages, you take out a loan that is secured on your home. There are a number of different kinds of Lifetime Mortgages available:
A Roll-up Lifetime Mortgage
“Rolled up” means interest is added to the loan over a set period of time, for example, every year. The loan gives you a lump sum or regular income and you are charged a monthly or yearly interest, which is added to the loan. When your home is eventually sold, the amount that you originally borrowed, including the rolled-up interest, is repaid.
A Fixed Repayment Lifetime Mortgage
With this kind of Lifetime Mortgage you get a lump sum, but do not have to pay any interest. Instead of paying interest, when the home is sold, you have to pay the lender a higher amount than you originally borrowed. That amount is agreed in advance with the lender. The lender then uses this higher sum to repay the mortgage when your home is sold.
An Interest-only Lifetime Mortgage
With an interest-only Lifetime Mortgage you get a lump sum upfront and pay a monthly interest on the loan, which can be either fixed or variable. The amount that you originally borrowed is then repaid when your home is sold.
A Home Income Plan
With Home Income Plans the money you borrow is used to buy a regular fixed income for life (also called an annuity). This income is used to pay off the interest on the mortgage and the rest is yours to use as you wish. The amount that you originally borrowed is repaid when your home is sold.
Shared Appreciation Mortgages
Some Lifetime Mortgages include a shared appreciation element. This means that the lender has a share in the value of your home. These kinds of plan are now less popular and less frequently available.
When taking out a Lifetime Mortgage, you can choose to either borrow a lump sum or to opt for a drawdown facility. A drawdown is suitable if you want to release occasional small amounts rather than one big loan upfront, as it means you only pay interest on the money that you actually need at the time.
How does it work?
Like a normal mortgage, you borrow money that is secured against your home. Your home still belongs to you and is not sold as part of the Lifetime Mortgage.
With the exception of roll-up schemes and fixed repayment Lifetime Mortgages, you will have to pay interest on the loan each month. When you die or move out of your home, the property is sold and the money from the sale is used to pay off the loan. Anything left after the loan has been repaid goes to your beneficiaries.
Is it right for me?
This depends on your age and personal circumstances. Lifetime Mortgages can be a flexible way of releasing equity from your home, but you must make sure it suits your particular situation.
There are a number of things to consider:
- With a Roll-up Lifetime Mortgage the interest you owe can increase quickly. Eventually this might mean that you owe more than the value of your home, unless you have a no-negative-equity guarantee from the lender.
- A Fixed Repayment Lifetime Mortgage is a better deal if you live much longer than the lender thinks you will. But if the home is sold much earlier than you originally planned, you will get a worse deal.
- With Interest-only Lifetime Mortgages with variable interest rates, the interest rate may rise faster than your income.
- A Home Income Plan only results in a small income after the interest has been paid. These kinds of plan are usually only suitable if you are older.
Remember that you will be expected to ensure that your home is in good condition and remains well maintained. You may need to set aside money to do this when first entering into the plan.
What does it cost?
For both Lifetime Mortgages and Home Reversions, you will have to pay for the following:
- An arrangement fee for setting up the plan
- Legal fees
- Valuation fees
- Buildings insurance
With Lifetime Mortgages some of these costs can be added to the loan so you pay less upfront, but you will pay interest on any amounts added to the loan.
Things to think about!
Remember, it is important to be aware of the different products available and the positive and negative points of each type of plan. As with any big decision, you need to explore all the options available to you first. It is recommended that you seek advice before deciding on what route is best for you.
As it is an important decision about your home and your future, it is also recommended that you consult your family if you are considering any Equity Release product.
Remember that Equity Release is not right for everyone. Do your?Homework, seek legal advice, and explore all the options available to you.
Make sure that a particular plan is suited to your own circumstances and needs before you proceed.
An Introduction to Equity Release Mortgages
17
Nov
The equity release mortgage (also known as a lifetime mortgage or a reverse mortgage) is becoming an increasingly popular method by which seniors can tap into the equity in their homes, providing them with cash in the form of a lump sum or supplementary income.
Who can get an Equity Release Mortgage?
There are a few simple criteria you must meet to be eligible.
- Be a UK Citizen
- Own your own home
- Be over a certain age (typically 55 to 62 depending on the individual scheme and the company offering it)
- Own a property worth at least £40,000 to £70,000 (again, the exact amount depends on the company offering the scheme)
- Some companies may allow you a small outstanding mortgage balance as long as you agree to pay it with funds from your equity release mortgage
How it Works
Most schemes allow you to borrow a cash amount that amounts to between 20% and 50% of the value of your property. The exact amount depends on your age (or your partner’s age-whichever is the lowest). In general, the younger you are, the lower the amount you can borrow.
You can receive the loan money as regular instalments, as one large lump sum, or in smaller lump sums at irregular intervals. Interest accrues on the amount you borrow, in the same way as with a conventional mortgage, meaning that interest will accrue more slowly if you choose to receive money via instalments rather than as one large lump sum.
The money you borrow via an equity release mortgage does not need to be repaid until the property is sold. At this point, the full balance of the loan is due, including interest.
There are four main types of equity release mortgage: home income plans, the interest-only mortgage, the lifetime mortgage, and the home reversion scheme.
Home Income Plan
The owner of the property takes out an equity release mortgage and uses the lump sum to purchase an annuity that provides income for life. Interest payments on the mortgage are deducted from the annuity. The mortgage does not have to be repaid until the home is sold.
Advantages
- You are guaranteed an income for life, and don’t have to worry about interest accruing, as this is paid from the annuity.
- The amount you owe on the mortgage remains constant-if the property increases in value over time, you or your heirs benefit
Disadvantages
- Inflation may reduce the value of the annuity over time.
Interest-Only Equity Release Mortgage
The equity release mortgage is used to provide a lump sum, and the borrower must make monthly interest repayments. The principal balance must be repaid in full when the property is sold.
Advantages
- The amount you owe on the mortgage remains constant, so any increase in property value benefits you or your heirs
- You have fixed monthly repayments (if you choose a fixed-rate mortgage)
Disadvantages
- You must be able to ensure that you can cover interest payments over the life of the loan
- Choosing a mortgage with a variable interest rate is risky
Lifetime Equity Release Mortgage
The equity release mortgage is used to provide either a lump sum or monthly instalments of cash (the borrower can also choose to receive a combination of both types of payment). When the property is sold, the balance of the loan, including principal and interest, is paid in full.
Advantages
- Provides a larger income than the home income plan or interest-only mortgage
Disadvantages
- It will be difficult to estimate the amount of equity left in the property until it is sold
Home Reversion Equity Release Mortgage
The owner of the property sells their home (or a portion of the equity) to a lender, and receives a lump sum or monthly income. The lender takes a share of the proceeds when the property is sold, taking a share that is proportional to the amount of equity they purchased. For example, if you sell 50% of the equity, the lender will take 50% of the proceeds from the sale of the property.
Advantages
- You will always know exactly how much equity you own
- You or your heirs benefit from an increase in property value
- No repayments-even interest-in your lifetime
Disadvantages
- The lender will not pay market value for the equity
Look for a SHIP-approved Equity Release Mortgage
Plans that are approved by the Safe House Income Plan guarantee that you will never end up owing more than the home is worth, even if the property market changes, and no matter how much interest you accrue. You cannot build up negative equity in the property, and will not pass debt to your estate in the event of your death.