FAQ

You will usually qualify for an equity release scheme if:

• You and your partner are aged between 55 and 95
• You own a home which is worth at least £70,000
• You have owned your home for longer than 6 months

This depends on your age, health, property value and the type of equity release scheme. A typical lifetime mortgage will allow you to raise between 25% and 57% of the property value however the percentage will be restricted by the youngest applicant or enhanced by specific health conditions. The older you are when you take out any plan, the more you will receive.

Yes, however your new property will need to be approved by the plan provider and they will have their own set of terms to be met.

Releasing cash from your home could affect your entitlement to state benefits. Means tested benefits such as Pension Credit and Universal Credit entitlement may be reassessed. Capital held in savings or an increased income could affect these benefits. We will notify you if releasing capital from your home is likely to affect any state benefits that you receive.

If the value of your home should fall you would be protected by a ‘no negative equity’ guarantee which ensures that you would never owe more than the value of your home. If house prices rise you would benefit unless you had transferred 100% of your property under a home reversion plan.

No. Any equity release scheme that we recommend will come with a no negative equity guarantee so you or your beneficiaries would never owe more than the value of your home.

Equity Release schemes are not designed to be repaid until the death of the last surviving borrower or exit into long term care. Early repayment charges may apply on lifetime mortgages if you repay the loan before this time. Home Reversion plans would be very expensive to reverse as you would have to repay the full market value of the share of the property transferred under the scheme.

Any plan recommended by The Equity Release Company give you both the right to live in your home for as long as you are able to. This is because we only recommend plans approved by the Equity Release Council.

It is possible to release equity to purchase a new home or to buy a 2nd property and still live in the property which the original lifetime mortgage has been arranged.

Yes, it is possible to release equity from a retirement home. Equity Release schemes can only be taken on your main residence however it’s not usually possible to release cash from a second home, or a home outside of the UK. The amount advanced will be limited by age restricted properties, service charges and sell on clause.

Possibly. It is dependant on the type of plan, the amount you have already released, the equity remaining in your property and your age. We can advise you whether a top up would be available on your existing equity release scheme or by switching your existing plan to a new provider.

It normally takes between 6 and 12 weeks from the application stage to completion when you will receive your capital.

Your property will be valued by an independent chartered surveyor to ascertain the true market value of your property for the lender. The equity release provider will usually arrange the valuation by the surveyor which are often free of charge.