Equity Release Schemes from 5.74%

Equity release is a popular option for homeowners and purchasers over the age of 55 who are looking to release some or all of the equity tied up in their property or to complete a purchase. Equity release for homeowners gives the option of tapping into your home’s value by raising a large lump sum or a series of smaller payments which can be used for a number of reasons.

• Clients aged 55+ have the option to borrow more.
• You retain ownership; you do not become a tenant.
• No monthly payments are required, and income is not a factor.
• Select schemes offer free valuations and legal fees.
• Most legal purposes allow for the release of equity.
• We accept both long-term fixed rates and adverse credit.
• Repayment only occurs upon moving, entering long-term care, or death.
• No negative equity guarantee ensures the loan won’t exceed the property’s sale price.
• You can use it for your existing or newly acquired properties, and it’s usually portable.
• Inheritance tax planning and drawdown options are available.

Equity release options

The lifetime mortgage is the single most popular equity release product in the UK, accounting for around 99% of all equity release products provided by lenders.

With a lifetime mortgage, you take out an entirely new mortgage on your property but retain full ownership of it in the same way as you would with a standard mortgage product. 

Equity release schemes have advantages and disadvantages like most financial products, which should be discussed in depth with an independent advisor before going ahead.

Before applying, take note:

• A specialist equity release mortgage can be more expensive than a conventional mortgage and charged at a higher rate.
• You cannot access all the equity tied up in your property.
• Equity release schemes may have restrictions, as you may be unable to perform certain home improvements or work without seeking permission.
• While the money accessed through an equity release scheme is 100% tax-free, it may affect your entitlement to state benefits. Equity release will also reduce the value of your estate to be passed on to your beneficiaries after your death.
• Some equity release schemes have high exit penalties when the mortgage is repaid.