If you have some questions, maybe we've already answered them for you
There are two main types of equity release plan:
A standard lifetime mortgage is a loan secured against your home which provides you with a tax-free cash lump sum and no required monthly repayments. As with all types of lifetime mortgage, you retain 100 per cent homeownership (some plans allow you to make payments to service the intertest or even reduce the debt)
Home reversion plans are now much less common than lifetime mortgages, accounting for less than one per cent of the market. With a home reversion plan, you sell all or part of your home in exchange for a tax-free cash lump sum or a regular income, with the right to stay in your home – rent free – for as long as you choose.
When you pass away or enter long-term care, your house will be sold, and the reversion company will take its share of the proceeds. If you sold the whole property, all of the proceeds will go to the company; if you only sold a percentage, they will take this and the rest will go to your beneficiaries.
An equity release application usually takes somewhere between 6 to 8 weeks for a lifetime mortgage scheme and 10 to 12 weeks for a home reversion plan, assuming the title on the house is clear
Well, that depends on many factors, like the type and value of your home, and your age when you start your plan. It’s likely that the older you are, the more equity (or cash) you can release. Feel free to use our equity release calculator for a guide
With a lifetime mortgage from an Equity Release Council member, you have the right to remain in your home until you die or move into permanent long-term residential care.
Only then will your home be sold, and the outstanding equity release loan be repaid.