Use the FREE Drawdown Mortgage Calculator
See how much cash you can release from your home.
What are the Benefits?
About the Providers We Compare
Did You Know? Every 12 minutes a homeowner over 55 in the UK unlocks £91,667 tax-free cash.
Want To Chat?
Chat with an Expert
* We’ll get one to give you a call.
Last updated 08 June 2020
Our Most Commonly Asked Questions
When comparing the drawdown mortgage market, a specialist adviser will explain:
- You have to get advice before unleashing equity.
- Check for plans that have a no negative equity guarantee, so you’ll never owe more than your home’s value.
- It reduces the value of your estate.
- The initial consultation is free with no strings.
- The most popular form of equity release is a lifetime mortgage, which is a loan secured against your home. Note that you will still own your home.
Lifetime Mortgage LoanYou release a lump sum from the value of your property, by taking out a mortgage secured on your house (provided it is your primary residence) whilst keeping 100% ownership of your home. This amount, plus any interest accrued, (you can choose to make repayments) is repaid from the sale when you pass away or move into long-term care.
Drawdown Lifetime MortgageThis works similar to Lifetime Mortgage4 but with a regular cash reserve/draw down option allowing you to withdraw amounts at a frequency you choose up to a specified amount of years, or until the cash reserve has been used up.
Interest-Only Lifetime MortgageYou get a lump sum and pay a monthly interest on the loan, which can be fixed or variable2, rather than allowing the interest to roll up. The amount you originally borrowed is normally repaid when your home is eventually sold.
Home Reversion PlanHere, you sell some or all of your house to a home reversion provider in exchange for a lump sum of money or routine payments, whilst retaining the right to live in your home, rent free, for as long as you live, but you have to agree to maintain and insure it. At the end of the plan it is sold and the sale proceeds are shared according to the remaining proportions of ownership. Not Looking For Equity Release? Use our free lifetime mortgage calculator to see how much you can release now.
You are free to use the money on almost anything you choose. There are many reasons for unleashing equity from your home and here are just a few of them.
Common Equity Release Uses:
- To supplement your pension income to cover living expenses
- To settle a repayment mortgage or clear the balance on an interest-only mortgage
- To improve your standard of living
- To see your family enjoy their inheritance while you’re still here
- To carry out some home renovations
- To take that holiday of a lifetime
- To help your children onto the property ladder
- To pay off other outstanding debt and lower your monthly outgoings.
Use our free drawdown mortgage calculator to see how much you can release now.
Are You Ready to
See How Much You Can Release?
SovereignBoss.co.uk is a marketplace connecting people with mortgage firms. Accordingly, SovereignBoss.co.uk does not provide quotes or sell products directly to consumers and is not a licensed agent or broker.