Home Reversion Plan

A form of equity release plan.

The borrower sells part or all their home to a reversion plan provider in exchange for a tax-free cash lump sum. The borrower is granted a lifetime lease to stay in the home with no monthly repayments.

How does it work?

On the basis 100% of your home is not sold to the provider you will share any property value increase with the provider. You are also able to safeguard an inheritance for your family. You still get to live in your own home and have the choice of paying an amount of rent or to be rent free.


  1. No monthly repayments.
  2. You agree the amount of your home’s value to be used from the beginning of the contract.
  3. Still able to leave a fixed portion of property equity in your estate.
  4. The plan allows flexibility to take funds for your needs now but have ability to take more cash as required in future.
  5. The percentage of equity you choose to retain can still go up in value if your property value increases.
  6. Can be made available to younger borrowers from age 55+ and may provider a greater amount of capital than a lifetime mortgage plan.
  7. The older you are the more money can made available to you.
  8. You may still be able to move home however, this is subject to restrictions.


  1. Do not expect to achieve full market value for your home due to the fact the reversion provider will not make a return on their investment for several years.
  2. Property value increases will only benefit the part of the home you still own.
  3. Reversion plans cannot usually be reversed as you are selling part of your home.
  4. Further advances are not usually guaranteed by Reversion plan providers.
  5. If you choose to end your plan early you could be charged a penalty.
  6. Tax position and benefit entitlement need to be taken into consideration and any impact a reversion plan could have.