Equity Release is a way to unlock tax-free cash from your home and provide you with more income in your retirement.There are different types of plans out there but the two main types are a Lifetime Mortgage and Home Reversion Plan.

What is a Lifetime Mortgage?

A Lifetime Mortgage is a type of Equity Release plan where you unlock a lump sum of tax-free cash from your home. You continue to own your home with this type of plan.

How does a Lifetime Mortgage work?

With a Lifetime Mortgage, the money you release becomes a loan that’s secured against your property. If you still have a mortgage you’ll need to use the money you release to pay this off first and then you can use whatever is left over to spend on what you like.

The loan, plus any interest, is then paid back from your estate when you die or move into longer term care. This means that the amount you can pass on to your loved ones from your estate will be less.

Pros and Cons of a Lifetime Mortgage


  • You get a lump sum of tax free cash
  • Once you’ve paid off any mortgage you still have, you can use the leftover money to spend on whatever you like
  • There’s a few different types of Lifetime Mortgage to choose from, giving you flexibility and choice
  • You continue to own your home


  • The money you release from your home is paid back from your estate when you die or enter long term care. This means the amount of money you can pass on to loved ones will go down
  • The money you release from your home could affect any means-tested benefits you’re entitled to now or in the future
  • The money you get is a loan and will build up interest. This means the amount which will need to be paid back will grow over time
  • If you want to pay back the Lifetime Mortgage early you would have to pay extra charges

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Simply fill in a few details and find out how much money you could unlock from your property.

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Related pages

What is Equity Release?

Equity Release is a way to unlock tax-free cash from your home.

Learn more about your options >

How does Equity Release work?

Find out how much tax-free cash you could access and understand the costs.

Find out how Equity Release works >

What is a Home Reversion Plan?

A Home Reversion Plan lets you unlock money by selling some or all of your property.

Find out how a Home Reversion Plan works >

Standard Life Client Management Limited is registered in Scotland (SC193444) at 1 George Street, Edinburgh, EH2 2LL. Standard Life Client Management is authorised and regulated by the FCA. Its FCA register number is 435970. Age Partnership Limited (registered in England (5265969) at 2200 Century Way, Thorpe Park, Leeds, LS15 8ZB). Age Partnership is authorised and regulated by the Financial Conduct Authority. Their FCA register number is 425432