Equity Release Guide

Lifetime Mortgage

You continue to benefit from any rise in the value of your property.
A fixed rate of interest will be an advantage should interest rates rise.
You may be able to release additional cash in the future.
You will maximise the value of your property if you die early or leave your property to go into care as you will only have paid interest on the Lifetime Mortgage for a short time.
You are usually eligible for a Lifetime Mortgage at 55 years of age.

As the mortgage increases through rolled up interest and the value of your property changes with market conditions, your net equity in the property changes daily. You cannot therefore guarantee that you can leave any of the property as an inheritance for your children. Use the ERC Lifetime Mortgage and Property Value Calculator to explore the possible effects of life expectancy and property inflation.
If you live much longer than the normal life expectancy for your age, the equity in your property may start to decline. You could potentially end up with no equity at all.
If interest rates fall you could find your cost of borrowing is uncompetitive. However, you may be able to switch to a more competitive Lifetime Mortgage.
You cannot be certain that you will be able to draw further funds later on, should you need to.

This site is for UK residents only