Equity Release

If you are over 55 equity release is an option you could consider as way to raise money by using the value held in your property.

It is important before entering into a legally binding equity release contract that you seek legal advice.


Common reasons for using equity release:

1.    Additional later life income

2.    Gifting to relatives

3.    Home adaptions or improvements

4.    Retirement holiday or holiday home purchase

5.    Fund long term care

The reasons listed are not constrained to this you may have an alternative need for funds.

You should carefully consider the potential expense accompanying equity release due to, arrangement fees or interest. We would recommend you also consider the following options to raise funds:

Could you sell your home and opt for rented accommodation

If your property is valued more than £400,000 this could be enough to consider this option anything below this is not recommended. Upon the sale of your property the profit can then be invested into an income producing investment. The investment then producing rental income and living expense.

Entitlement to benefits

It is worth taking some time to familiarise yourself with any local authority or state benefits you could be entitled to before considering equity release.

Additionally, equity release can reduce or cancel your entitlement to claiming benefits. We recommend speaking to your local authority or citizens advice to explore these options and considerations first.

If essential or assisted living is the reason for raising funds there could be grants available for this purpose that could be considered, check all options.

Savings & Investments

You may have access savings and investments as an alternative.

Spare space or room to rent out

You may be fortunate to have extra rooms, out building or garage space unused that could be rented out to provide extra income. Its’ important to remember if in receipt benefits that extra income is declared.  

Downsizing your home

You may have needed a larger home when raising a family and now your children are no longer be financially dependent. By this stage, a larger home may no longer be necessary therefore downsizing is not only more economical but upon sale of your family home provides financial lump sum.

Equity release evidently has a place as a useful strategy to raise funds however it is important to ensure it fits your needs, circumstances, and preferences. The benefits for you need to outweigh the risk essentially and it is important to have considered the alternative fund-raising solutions available to you.

Equity release includes Lifetime Mortgages and Home Reversion Schemes. We can advise and arrange Lifetime Mortgages and will refer to an approved specialist for Home Reversion schemes.