Fund Your Retirement with Equity Release

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Find out how equity release can liberate your later life finances, and potentially enable you to have the retirement you deserve

Can't wait to find out how much you could release? Use our handy calculator now.

When it comes to funding your retirement, traditional options can be limited, and many people find themselves left with essentially only two choices for income: the state pension, or any personal savings and investments that may have been accumulated from working life.

However, you may be overlooking the role one of your most valuable financial assets can play in your golden years. If you own your home, you may be able to use equity release to unlock some of the value of your property as tax-free cash. The rise in property prices means that for many people their home is also their biggest financial asset. The most recent figures from Halifax show the average house price in the UK is just over £220,000.[1]

How does equity release work?

Equity release allows UK homeowners aged 55 or older to borrow a portion of the total value of their home. The percentage you can borrow increases as you get older, up to a maximum of approximately 60%. The amount of equity you could release will depend on your age and the total value of the property. Using equity release may involve replacing one loan with another in a more manageable way, and by consolidating your debts into a mortgage you may be required to pay more over the entire term than you would with your existing debt.

As the interest is rolled up each year, the longer the equity release plan runs, the larger the final bill will be. But by releasing equity with an Equity Release Council approved lender, you will never owe more than the value of your home thanks to the 'no negative equity guarantee'.

Dean Lambie, chief executive of SunLife says: “For those who either cannot find a suitable property to downsize to, or are reluctant to give up the family home, this could prove to be a good option.”

Whether you're curious as to how much you can release, or you want to take the initial steps towards releasing equity, this handy calculator will give you the information you require.

Or you can contact us on 0800 029 1233 to discuss your needs with a view to arranging a no obligation face-to-face home visit with one of our financial advisers.

[1] Source: Halifax ‘House Price Index December’ 01.01.18

Reader's Digest Equity Release is a trading style of Responsible Life Limited. Responsible Life Limited is authorised and regulated by the Financial Conduct Authority and is entered on the Financial Services Register (http://www.fsa.gov.uk/register/home.do) under reference 610205. In using this website I give express consent to Responsible Life Limited to contact me on the details provided from time to time. Calls may be recorded for training and quality purposes. This is a Lifetime mortgage which may reduce the value of your estate and may affect your entitlement to state benefits. To understand the features and risks ask for a personalised illustration. Any information contained herein is a personal opinion of the author and should not be considered to be advice of any kind. Inheritance Tax planning is not regulated by the FCA. Think carefully before securing other debts against your home. By consolidating your debts into a mortgage you may be required to pay more over the entire term than you would with your existing debt. Only if you choose to proceed and your case completes will Responsible Life Limited charge an advice fee, currently not exceeding £1,295. Our adviser will talk through the setting up costs of a lifetime mortgage before you make any decision to proceed.