Equity release options for over 50 offer solutions to a range of problems. Lifetime mortgages and home reversion schemes can be worthwhile alternatives to traditional mortgages. Consulting your equity release advisor about these can clarify misconceptions and help you understand the best option.

A lifetime mortgage is a long-term loan secured against your home.

A lifetime mortgage gets repaid either:

When you go into long-term care. When you die.

The mortgage is repaid by selling your home. Any additional amount owing is paid from your estate upon your death.

Equity release can be one of the most promising options for people later in life. That's why it is crucial to steer clear of equity release companies that are not regulated by the FCA and do not hold membership in the Equity Release Council (ERC) when selecting a lender.

Lifetime mortgages can be a great cash injection for your retirement, you get a tax-free lump sum or monthly instalments to use as you wish. Equity release has been steadily growing as a finance management tactic, and in 2022 over 200 homeowners per day chose to use equity release on their property.

Releasing equity in your home sounds simple but can be challenging in practice. The equity release options available to you will depend upon your age, regular income and level of equity in your property. Remortgages, lifetime mortgages and home reversion schemes are the most popular options for the over 50s.

Over 55s could benefit from an enhanced lifetime mortgage. The hybrid version of a lifetime mortgage considers your health, often leading to an increased LTV ratio. However, it might not always be the right option. Therefore, you should carefully consider your options and understand what the mortgage type offers.

Remortgage or equity release are common options if you're looking to raise capital from your home. While both achieve the primary goal of raising money, they are very different, and there are many issues to consider. So which option would best suit your situation?

Equity release options for over 50 offer solutions to a range of problems. Lifetime mortgages and home reversion schemes can be worthwhile alternatives to traditional mortgages. Consulting your equity release advisor about these can clarify misconceptions and help you understand the best option.