Disclosure
Gifting With Equity Release: Is It Good or Bad in 2025?
Gifting with equity release involves withdrawing cash from your home's value to give to others, which can impact your estate and potentially your eligibility for means-tested benefits.
What Are the Rules for Gifting With Equity Release? Find Out More about How It Works and What the Benefits Are in This Article. Keep Reading to Find Out If It's a Good Idea For You.
This article contains tops tips from our experts, backed by in-depth research.
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Key Takeaways
- Gifting with equity release in the UK refers to the process of releasing funds from your property and giving it to your family or loved ones.
- Using equity release to gift your family is fairly straightforward, you just release funds from your home's value and distribute it to your relatives as you see fit.
- The risks include possibly reducing your own standard of living, impacting your entitlement to means-tested benefits, and potentially increasing your beneficiary's tax liabilities.
- While it may reduce the size of your estate, it does not necessarily guarantee avoidance of inheritance tax, it depends on several factors including the timing of the gift.
- The Equity Release Council in the UK has set regulations to ensure the process is transparent, fair and protects the rights of the consumer.
You might be wondering whether gifting with equity release is possible.
If you've always dreamed of being that generous friend or family member who makes your loved one's dreams come true, then you'll be happy to know that you might be able to.
Thanks to equity release!
In This Article, You Will Discover:
At SovereignBoss, we want to keep you informed with the latest and most relevant industry news on equity release. If you've been looking to unlock funds to gift your loved ones, then you're in luck.
Let's find out how to now!