Equity release

Equity release allows you to release money, the equity, in your property and continue to live there.

You can then use this money to help pay off your debts. People often choose equity release as an alternative to selling their property to pay off their debts.

You can only consider equity release if you are over the age of 55 and are a homeowner. The amount of money you can release from your property varies and depends on your age and the value of your property. Your property must have a value of at least £60,000. You cannot use an equity release scheme if you have a mobile home.

Releasing the equity from your home is a big decision to make, and should only be considered once all other options have been explored. If you are considering equity release, you can use our online debt counselling service which will provide you with the most appropriate solution to your debt problem. Alternatively contact our free Helpline on 0800 138 1111.

If equity release is a possibility we can put you in contact with specialist advisor representing CCCS Equity Release who can explain all the options surrounding equity release before you make a decision.

FAQs

Will I still own my home if I proceed with equity release?

England and Wales > Debt solutions > Equity release

This depends on the type of equity release plan that is best for you.

Home Reversion Plan

The deeds, and therefore the ownership of the property, is transferred to the home reversion provider.
You would retain the financial interest in any part of the property not sold to the home reversion company.

Lifetime Mortgage

You maintain 100% ownership of your property.

What fees are involved with setting up an equity release plan?

England and Wales > Debt solutions > Equity release

There are four main costs associated with setting up any equity release plan.

Survey Fee - You pay this at the start when you submit your application. The amount usually depends on the estimated value of your property
Application Fee - You pay this directly to the lender when your loan completes. This can either be paid from the funds released or added to your loan. This fee is typically £595
Legal Fee - All SHIP (Safe Home Income Plan) members insist you receive independent legal advice from a solicitor. Your solicitor should offer a fixed fee for this service of between £400-£500
Advice Fee - CCCS Equity Release Ltd has no fees for advice. Other companies’ advice fees are usually between £595-£2,000

Can I lose my home if I release equity from it?

England and Wales > Debt solutions > Equity release

As long as you adequately maintain your home and keep to the terms of the agreement, SHIP members guarantee lifetime tenancy in your property regardless of what happens to future interest rates, property values or investments.

How long does an application for equity release take to complete?

England and Wales > Debt solutions > Equity release

The time taken to complete an application varies depending on each applicant’s individual circumstances.

You should allow approximately 4 – 6 weeks from the time you submit your application. The equity release company will send all funds directly to your solicitor.