Please note: this product is available by referral only.

Equity release lets homeowners aged 55 and over access the value tied up in their property without having to sell or move.

It can provide a tax-free lump sum or regular income — but it’s a significant financial decision with long-term implications that need careful consideration.

We refer clients interested in equity release as part of our broader financial planning services. Here’s what you need to understand before deciding whether it’s right for you.

How Equity Release Works

You borrow against the value of your home while continuing to live in it. The loan, plus accumulated interest, is repaid when the property is eventually sold — typically when you move into long-term care or pass away.

There are two main types.

Lifetime mortgages are the most common. You take a loan secured against your home at a fixed or capped interest rate. Interest rolls up over time, meaning the amount owed grows. You can choose to make voluntary interest payments to manage this growth, but there’s no obligation to.

Home reversion plans involve selling all or part of your home to a provider at below market value in exchange for a tax-free lump sum and the right to live there rent-free for life. These are less common and we generally see fewer clients choosing this route.

What Can You Use It For?

People use equity release for a wide range of purposes. Home improvements and adaptations for later life, clearing an existing mortgage to reduce monthly outgoings, supplementing retirement income, helping children or grandchildren onto the property ladder, funding care needs, holidays and lifestyle improvements, and consolidating debts.

There are no restrictions on how you use the money. However, releasing equity does affect your overall financial position, so we always discuss the purpose and whether there might be better alternatives.

How Much Can You Release?

The amount depends on your age and property value. Generally, the older you are, the higher the percentage of your property’s value you can release.

As a rough guide, someone aged 60 might release 20-30% of their property value, while someone aged 80 might release 40-50%.

Maximum release percentages vary between providers. We compare across the whole market to find the best terms for your circumstances.

The Costs

Interest rates on equity release are typically higher than standard mortgage rates — often 5-7% depending on the product and market conditions. Because interest compounds over time (unless you’re making payments), the total amount owed can grow significantly.

For example, a £50,000 release at 6% interest with no repayments would grow to approximately £90,000 after 10 years and £160,000 after 20 years. That compound growth is the single most important thing to understand about equity release.

Arrangement fees typically range from £500-£2,000. Solicitor fees, valuation fees, and advice fees also apply.

The Protections

The equity release market is regulated, and products approved by the Equity Release Council (ERC) include important safeguards.

No negative equity guarantee means you’ll never owe more than your home is worth. Even if the loan grows beyond the property value, the shortfall is written off. This is a crucial protection.

Right to remain guarantees you can stay in your home for life, provided you meet the terms of the agreement (maintaining the property, keeping it insured, living there as your main residence).

Portability allows you to transfer the plan to a new property if you decide to move, subject to the new property meeting the lender’s criteria.

What to Consider Carefully

Impact on inheritance. Equity release reduces the value of your estate. If leaving your home to your children is important, you need to weigh this against your need to access funds now. Some products let you ring-fence a percentage of your property’s value as a protected inheritance.

Impact on means-tested benefits. Releasing a large lump sum could affect your eligibility for means-tested benefits like Pension Credit, Council Tax Reduction, or care funding. We assess this as part of our advice process.

Long-term cost. Compound interest means the total repayment amount can be substantial. Making voluntary interest payments — even small ones — dramatically reduces the final balance.

Projections are always modelled so you can see exactly how the numbers work over different timeframes.

Alternatives. Downsizing, remortgaging, or accessing other savings might achieve the same goal at lower cost. We explore all options before recommending equity release — it should be the right solution, not the easy one.

Our Approach

Equity release advice is regulated and must be provided by a qualified adviser. We refer clients interested in equity release so they can be offered a comprehensive range of products from across the market from all major providers, to find the right fit.

The process includes a detailed assessment of your financial situation and objectives, exploration of alternatives to equity release, comparison of suitable products across the market, clear illustration of costs and long-term projections, involvement of family members if you wish, and ongoing support through the application process.

We’ll never refer you to talk to someone about equity release unless we genuinely believe it’s the right option for your situation. If a better alternative exists, we’ll tell you.

Is It Right for You?

There’s no one-size-fits-all answer. Equity release is right for some people and wrong for others. The only way to know is to have a proper conversation about your specific circumstances, needs, and priorities.

Contact us for a no-obligation discussion about whether equity release could work for you.

Your home may be repossessed if you do not keep up repayments on your mortgage.

We charge a fee for mortgage advice. The precise amount of the fee will depend upon your circumstances but will range from £149 to £499 and this will be discussed and agreed with you at the earliest opportunity.

Lifetime Mortgage is only applicable to those 55 and over, and it could affect eligibility to state means-tested benefits and the inheritance you may leave. To understand the features and risks, ask for a personalised illustration. Equity release includes Lifetime Mortgages and Home Reversion Schemes. We will refer you an approved specialist for Home Reversion schemes and Lifetime Mortgages.