You have decided on equity release, but do you know what questions to ask a financial advisor or broker?

If you do not go prepared for your appointment, you could miss out on some opportunities.

Luckily, we are here to help you prepare.

Our expert team has spent countless hours researching the most appropriate and valuable questions to ask your financial advisor or broker.

Find out more right now!

What is a Financial Advisor?

A financial advisor plays a critical role in guiding clients through various financial decisions, including home equity loans and retirement equity release in the UK.

These professionals help individuals navigate options such as home equity release, offering insights into what equity release entails and assisting in comparisons between equity release and loans.

Their advice is invaluable for those considering equity release schemes in the UK or seeking information from guides like Which? on equity release, ensuring informed decision-making in investment, retirement planning, and wealth management.

12 Essential Questions to Ask Your Equity Release Financial Advisor In 2025

Meeting with a new professional can be intimidating, especially when the appointment is related to finances.

But do not fear. You can shop around for advisors.

If you are not comfortable with your first option, do not settle.

You will be working closely with the person, so you must trust them.

Furthermore, preparing for a meeting is the best way to reduce anxiety and get the most out of the experience.

When it’s time to get more information from your advisor, be sure to include these 12 essential questions:

1. Do You Advise on All Types of Equity Release?

There are 2 main types of equity release to ask about, lifetime mortgages and home reversion schemes.

If possible, find an advisor that works with residential mortgages, interest-only mortgages, and retirement interest-only mortgages.

This way, they will know where to find the best deals and lowest interest rates.

Fixed interest rates start from 5.87% to 8%*.
View the latest UK equity release rates here.

*While we regularly review interest rates, these may have shifted since our last update.

2. What Are the Costs Associated With an Equity Release Plan?

Be sure to get a breakdown of all the costs involved with equity release.

These typically include:

• Application fees
• Valuation fees
• Legal fees
• Advice fees

You can use some of the equity you release to cover some of the costs involved in unlocking capital.

3. Does the Equity Release Council Safeguard Me?

You MUST make sure that your financial advisor¹ works with members of the Equity Release Council.

The ERC was established to safeguard consumers' interests by ensuring all members adhere to their strict code of conduct and practice.

4. How Do You Choose the Right Plan For Me?

There are many different plans on the market, and what is right for you will be determined by a range of factors, including:

• Your age
• Your spouse’s age
• The value of your property
• The condition of your property
• The condition of your health
• How much equity do you want to release

Your advisor will help you find the best options for you.

5. What Are My Alternatives to Equity Release?

Releasing equity from your home is an important decision, so you must explore your alternatives with a financial advisor.

Some alternatives may include:

• Using your savings.
• Borrowing money via a traditional bank loan.
• Downsizing to a smaller property.
• Getting a part-time job.

Once you have considered all the alternatives, you might find that equity release could, in fact, be the right choice for you.

6. How Do You Decide What Initial Advance, and What Reserve I Should Have?

An initial advance refers to the money you first receive, and a reserve facility is a pre-agreed amount of money that you will have access to as and when needed.

You can take out the initial amount of money based on the expenses that you foresee, and then set up a reserve facility for the remaining funds.

Your financial advisor will be able to suggest a good balance.

Note: 

You will not pay interest on the cash in the reserve. Interest will only be charged once the cash is unlocked.

7. What State Benefits Will I Lose With an Equity Release Plan?

With equity release, you may no longer qualify for state and means-tested benefits now or in the future.

You must ask your advisor about this so that you can make an informed decision.

8. How Much Can I Borrow on an RIO?

An alternative to equity release that is worth considering is a retirement interest-only mortgage (RIO).

RIOs require compulsory monthly interest payments, unlike equity release.

However, RIO interest rates are often significantly lower,² meaning that you could potentially leave a larger inheritance for your heirs.

The amount you can borrow is determined by your property value, your income, and your expenditure.

Your financial advisor will be able to further advise you on an RIO.

9. What Are the Downsides to Taking Out Equity Release?

Like with all financial products, equity release does come with risks.

You must know the pros and cons of equity release before making your final decision.

Be sure to discuss these pitfalls with your advisor or broker:

• Equity release could diminish the inheritance you plan to leave behind.
• The effect it could have on your means-tested benefits.
• The early repayment fees involved if you wish to settle your loan early.

10. On Which Lenders' Plans Do You Advise?

Make sure that your advisor has access to plans and providers across the whole equity release market.

Some advisors may be restricted to only providing advice on a limited number of plans on the market.³

With numerous lenders on the market, it is important to look at them all to find the best possible plan for you.

11. Will I Be Able to Have Other People Living With Me in the Future?

Aging might lead to the need for in-home care or family members moving in to assist.

In fact, you might want to use the equity released from your home to cover professional care, rather than opting for a facility.

You need to check this with your provider to know all the facts before selecting an equity release plan.

Some plans limit who you can live with once equity has been unlocked from your property.

12. What Happens if I Need More Money in the Future?

This is a great question!

Speak to your advisor about releasing equity in smaller increments to ensure that you are always liquid.

Or discuss the options available to you for additional borrowing in the future.

Common Questions

In Conclusion

By asking your advisor all these questions, you will certainly leave your appointment with peace of mind and more clarity on whether equity release is best for you and your family.

Furthermore, you may also take a trusted family member or friend to join you to ensure that all bases are covered at your initial appointment and that the financial advisor answers all your questions.