Lifetime Mortgage
A lifetime mortgage lets you borrow against your home with no required monthly payments.
Independent introduction serviceAccess to specialist lendersNo obligation
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What happens next
- Fill in the form (2 minutes).
- We'll match you with the right specialist for your situation.
- A specialist independent broker will contact you to discuss your options.
Important: Equity release is a long-term commitment and will reduce the value of your estate. It may affect entitlement to means-tested benefits. Independent financial and legal advice is required. The specialist brokers we work with source plans from Equity Release Council approved lenders. Your home may be repossessed if you do not maintain required payments on a secured loan.
About Lifetime Mortgage
The interest rolls up and compounds, and is repaid - alongside the capital - from the sale of your property when you die or move into long-term care. Available from age 55. The most widely used form of equity release in the UK.
The options available
Lump Sum Lifetime Mortgage
Release a single tax-free cash sum. Straightforward and widely available. Interest rolls up on the full amount from day one. Best when you need all the money immediately - home purchase, debt clearance, lump sum gifting.
Drawdown Lifetime Mortgage
Take an initial lump sum and hold a cash reserve to draw from as needed. Interest only accrues on amounts drawn - not the reserved amount. The most cost-effective lifetime mortgage structure for most clients.
Interest-Serviced Lifetime Mortgage
Choose to make voluntary monthly interest payments, preventing roll-up and preserving equity. No obligation - you can stop payments at any time. Combines the flexibility of a lifetime mortgage with the equity preservation of a RIO.
Enhanced Lifetime Mortgage
If you have certain health conditions or lifestyle factors, you may qualify to release more money. Enhanced plans use medical underwriting to increase the loan amount for shorter life expectancy - available from Just, More2Life, and others.
No Negative Equity Guarantee
All Equity Release Council approved lifetime mortgages carry a no negative equity guarantee - you will never owe more than the value of your property, regardless of how interest compounds. Your estate cannot be left in debt.
Inheritance Protection
Ring-fence a percentage of your property value for your estate. Reducing the amount you can release, but guaranteeing a proportion passes to your beneficiaries regardless of the loan balance at end.
How It Works
Needs assessment
A specialist adviser establishes what you need the money for, your health, your income, your inheritance wishes, and whether a lifetime mortgage or a RIO would better serve your circumstances.
Lender comparison
The specialist can compare lifetime mortgages from Aviva, Legal & General, Just, Canada Life, More2Life, Pure Retirement, OneFamily, LV=, Royal London, and other ERC-approved lenders.
Illustration and independent legal advice
You receive a personalised Key Facts Illustration. You take independent legal advice from a solicitor - this is a requirement of all Equity Release Council approved plans.
Completion
Your solicitor manages the legal completion. The lender releases the funds - typically within 4-8 weeks of the initial application.
Speak to our later life lending specialists
Call 0204 6211776 · Introductions to later life lending specialists
Current lifetime mortgage rates - October 2026
| Product | Rate (AER) | Notes |
|---|---|---|
| Standard lump sum | 6.8%–7.5% | Fixed for life |
| Standard drawdown | 6.5%–7.3% | Fixed on drawn amounts |
| Interest-serviced plan | 6.4%–7.0% | Lower rate for serviced plans |
| Enhanced lump sum | 5.8%–6.8% | Health conditions may qualify |
Rates are fixed for the life of the plan, giving you certainty. These are indicative figures - your actual rate depends on age, property value, loan-to-value and health status. The equity release specialist we introduce you to can compare rates for your circumstances.
Interest roll-up vs serviced interest
The traditional lifetime mortgage rolls up interest - it compounds monthly and the balance grows over time. However, many modern plans allow you to pay some or all of the monthly interest:
- Full interest serviced: Your balance never grows. The same loan amount is repaid at the end. Similar to a standard interest-only mortgage with no end date.
- Voluntary partial payments: Pay what you can, when you can. Most ERC-approved plans allow up to 10% of the original loan per year penalty-free.
- Roll-up only: No payments required. Balance grows with compound interest. Simpler but leaves a larger debt.
Who qualifies for a lifetime mortgage?
- Age 55 or over (youngest applicant where joint)
- Own a UK residential property worth at least £70,000–£100,000
- Property must be your main residence
- Standard construction preferred; some non-standard property types accepted
- No minimum income requirement for roll-up plans
- Credit history is generally not a barrier
Portability - taking your plan with you
If you want to move home, ERC-approved lifetime mortgages can be transferred (ported) to a new property, subject to the lender accepting it. If you downsize to a property worth less than the outstanding loan, you may need to repay part of the balance, though partial repayment allowances often apply.
Frequently asked questions
How much can I borrow with a lifetime mortgage?
The amount depends on your age and property value. Younger borrowers (55-60) typically access 20-25% of their property value. Older borrowers release more - those in their 80s can typically access 40-50%+. Enhanced plans for poorer health can exceed these percentages. The equity release specialists we introduce you to can model the exact amount available for your age and property.
What is interest roll-up and what does it cost?
Interest roll-up means the monthly interest charge is added to the loan balance rather than paid monthly. The balance therefore grows over time - compounding annually. At a rate of 5.5% AER on a £100,000 loan, the balance grows to approximately £170,000 after 10 years, and £290,000 after 20 years. This is the fundamental trade-off of a lifetime mortgage: access to capital now versus a larger debt against your estate later.
What are the current lifetime mortgage interest rates?
Current lifetime mortgage rates range from approximately 6.2% to 8.5% AER (September 2026). Drawdown plans typically have slightly higher rates than lump sum plans. Enhanced plans may offer lower rates. We introduce you to specialists who can source live rates across a wide panel of lenders - rates change daily and any rate quoted at enquiry is indicative until a formal illustration is issued.
What is the Equity Release Council and why does it matter?
The Equity Release Council (ERC) is the trade body for the equity release market. ERC-approved plans must carry a no negative equity guarantee, allow the borrower to remain in their home for life, be transferable to a new property, and fix or cap interest rates. The equity release specialists we introduce you to typically work with ERC-approved lenders.
Can I repay a lifetime mortgage early?
Yes - but early repayment charges (ERCs) typically apply if you repay within a set period (usually 5-8 years). ERCs can be fixed (e.g. 5% in year 1, declining to 0%) or gilt-indexed (linked to gilts, which can produce higher charges in falling interest rate environments). Some plans offer downsizing protection - allowing repayment without penalty if you move to a property that does not meet the lender's criteria after 3+ years.