Stamp duty

[King Billy]

Except it wasn’t a lifetime mortgage because one of them is still alive, hence the £50k penalty which had feck all to do with the original equity release.

There was no mention of an ERC in your original post. This is more embroidery by you to substantiate your narrative.

Our friends parents took out £30k equity release years ago and…….. stuck it in the bank! When the mum sold their house a year ago to move in with them, it sold for £650k. They had to pay £50k because she hadn’t died and only ended up walking away with £300k. What idiots!

That £50k could refer to the accumulated interest and repayment of the loan just as easily as it could refer to an ERC.

You are describing the schemes of today, not those around 10+ years ago.

You seem awfully familiar with Motties' anecdote.
How can you possibly know what scheme was available to the pair referred to?

Sorry to prove you wrong, yet again.

Twenty-five years ago (around 2001), the UK equity release market was simpler and predominantly consisted of two core schemes: Lifetime Mortgages and Home Reversion Plans.

And don't forget to explain and demonstrate your knowledge of the market:

Please explain what you consider a "Shared Equity Release" scheme to be.

 

[motorbiking]

All you had to do was run the numbers. An AI would have done this in 10s and built you a calculator

 

[Mottie]

That £50k could refer to the accumulated interest and repayment of the loan just as easily as it could refer to an ERC.

So you assumed it was 10 years ago. £50k off of £650k does not leave £300k. It's bloody obvious that the £50k was not the £30k's worth of ten years equity growth as well as interest plus an early repayment charge you pillock. FFS, don’t ever try for a job in the loans industry.

 

[pete01]

don’t ever try for a job in the loons industry.

I think he's already got one

 

[King Billy]

So you assumed it was 10 years ago. £50k off of £650k does not leave £300k. It's bloody obvious

Which was I queried your figures, you pillock.

Have you made a mistake with your sums?
£30k in the bank for say 10 years will probably yield about £15k interest, so a final sum of about £45k.
The house sold for £650, bu they had to pay £50 for the Equity Release, leaving £600k, plus the Bank Account is £645k, not far off the £650k sale price?
What's the problem? They had that lump sum in the bank for all those years for emergency funding, or whatever.

 

[King Billy]

All you had to do was run the numbers. An AI would have done this in 10s and built you a calculator

I did run the numbers and they didn't add up which is why I queried the figures.

Have you made a mistake with your sums?
£30k in the bank for say 10 years will probably yield about £15k interest, so a final sum of about £45k.
The house sold for £650, bu they had to pay £50 for the Equity Release, leaving £600k, plus the Bank Account is £645k, not far off the £650k sale price?
What's the problem? They had that lump sum in the bank for all those years for emergency funding, or whatever.

And don't forget to tell us what your idea of "Shared Equity Release" with your supposed knowledge of the industry:

An entirely different financial arrangement than a shared equity release scheme.

A Lifetime Mortgage is an Equity Release scheme.
Please explain what you consider a "Shared Equity Release" scheme to be.

And don't forget to explain and demonstrate your knowledge of the market:

King Billy said:
Please explain what you consider a "Shared Equity Release" scheme to be.

 

[Mottie]

Which was I queried your figures, you pillock.

And I replied:

I’m only going on what I’ve been told. I think the equity release was about 25 years ago
Or more. They’d been in the house 40+ years. All I know is our friends are gutted about it. £30k all those years ago was a fair chunk of equity.

But somehow you didn’t want to know that and kept banging on about this mythical 10 years to cover your misunderstanding. Cock.

 

[King Billy]

And I replied:
But somehow you didn’t want to know that and kept banging on about this mythical 10 years to cover your misunderstanding. Cock.

You're either ignoring or forgetting MBK's interference in the discussion before you clarified the 25 year time span.

It’s an absolute scam and withdrawing the money to put in savings is the dumbest thing ever.

You are taking out a loan with zero repayment and charges and fees loaded on at between 6.5 - 8%. That is on top of any “equity” growth clause that allows them a slice of increases.

Pretty daft to stick it in the bank for a rainy day. When an overdraft, credit card of bank loan will do if you need it.

And then the abuse and accusations of not understanding the market started.

MBK has proven he doesn't properly understand the market with his reference to "Shared Equity Release" which he can't explain.
But that's his usual MO.

All it needed was a simple explanation from you, that £50 was the ERC, and £300k was the accumulated interest.

 

[Mottie]

All it needed was a simple explanation from you, that £50 was the ERC, and £300k was the accumulated interest.

No, £50k was the ERC. £300k was the current equity share.

 

[King Billy]

No, £50k was the ERC. £300k was the current equity share.

£50 was the ERC,

My typo.

 

[Mottie]

My typo.

Yep. £50k plus £300k plus £300k = £650k. Whatever, you understood my point fully from the start but just wanted an argument. You sad barsteward.

 

[King Billy]

Yep. £50k plus £300k plus £300k = £650k. Whatever, you understood my point fully from the start but just wanted an argument. You sad barsteward.

That'll be why I asked if there was a mistake in the figures.

 

[motorbiking]

You're either ignoring or forgetting MBK's interference in the discussion before you clarified the 25 year time span.




And then the abuse and accusations of not understanding the market started.

MBK has proven he doesn't properly understand the market with his reference to "Shared Equity Release" which he can't explain.
But that's his usual MO.

All it needed was a simple explanation from you, that £50 was the ERC, and £300k was the accumulated interest.

Deflection won’t save you.

You cried BS when all you needed to do was a tiny bit of research. Instead you jumped in for a fight face first as usual