How the calculator works
Equity release lenders use your age as the primary factor in setting a maximum loan-to-value (LTV). The calculation below reflects typical market LTVs in 2026 - your actual offer may be higher (particularly if you qualify for an enhanced plan) or lower depending on your property.
| Age | Standard LTV used | Enhanced LTV (health conditions) |
|---|---|---|
| 55–59 | 27.5% | 33% |
| 60–64 | 34% | 40% |
| 65–69 | 40% | 47% |
| 70–74 | 45% | 52% |
| 75–79 | 50% | 57% |
| 80–84 | 54% | 62% |
| 85+ | 57% | 65% |
What affects how much you can release?
- Age: The older you are, the higher the LTV available. Lenders account for the shorter expected loan term.
- Property value: Most lenders require a minimum property value of £70,000–£100,000.
- Health and lifestyle: Conditions such as heart disease, diabetes, cancer history, or being a smoker may qualify you for an enhanced plan with a higher LTV and/or lower interest rate.
- Property type: Standard brick construction is preferred. Some non-standard types (timber frame, ex-local authority flats, high-rise) are restricted or unavailable.
- Existing mortgage: Any outstanding mortgage must be repaid from the equity release proceeds - the net cash you receive is reduced accordingly.
Will releasing equity affect my benefits?
Releasing equity can affect means-tested benefits because you gain capital. Benefits such as Pension Credit, Council Tax Reduction and Housing Benefit have capital thresholds. If your savings rise above £10,000 (and particularly above £16,000) your entitlement may reduce or stop. We always recommend taking benefits advice before proceeding with equity release.
What happens to the loan?
A lifetime mortgage is repaid from the sale of your property when you die or move into long-term care. With a home reversion plan, the lender already owns a share of the property, so no loan remains to repay. In both cases, all ERC-approved plans ensure you can live in the property for the rest of your life.