Equity Release

‘Property Rich, Cash Poor’

Equity release is an area in which our expertise is sought on an ever-increasing basis. Individuals who are ‘property rich, cash poor’, can release funds from their home. The money can be spent on whatever the borrower may so wish. Most of our clients usually want to either gift monies to their family or they want enjoy holidays and travel whilst still fit and able to do so. This is not a new market, but what has changed is the quality of the products now available and the increase in competition amongst lenders, which has led to a decrease in the rates of interest being applied.

A New Breed

This type of lending previously earned itself something of a bad reputation and, as such, many lenders withdrew from the market, not wanting to be associated with it. However, the new breed of plans available are not like the old ‘Home Reversionary Plans’, whereby the borrower sold part of or all their property to the lender, for under market value. Very few of these schemes are set-up any longer. Far more popular are ‘Lifetime Mortgages’, whereby a loan is made without any part of the home being sold. The interest on the loan can be paid by the borrower, or alternatively can be ‘rolled-up’ and paid together with the outstanding loan upon the demise of the borrower. Due to the number of providers in this market, interest rates are very competitive, and this is, no doubt, a major reason for the increase in interest that we are seeing for these plans.

Our Professional Duty

Planning in this area, as with the area Estate Planning, can often result in the raising of some sensitive issues. We take our professional duty in this area very seriously. Sometimes we will suggest to our clients that other members of the family join our meetings, if they feel that ‘another pair of eyes and ears’ might help them to come to a decision. Of course, this is up to our clients and we will not disclose any personal information to family members unless we are instructed to do so.


Talk to the team

Have a question or query, get in touch with our team today.

Read more


About Clifford Davis

Clifford Davis is a premier provider of property-related financial advice. Based in Barnet, North London, we pride ourselves on being able to advise and to provide guidance in all areas of property-related finance.

Read more

Bridging Loans & Development Finance

We have successfully secured commercial lending for several our clients and we have excellent relationships with a number of the premier lenders in this area. We work with individuals and companies to secure commercial and semi-commercial mortgages.

Commercial and semi-commercial cases are always subject to full manual underwriting. We view this as a positive as it gives us the opportunity to present your case in the strongest possible light. It also means that underwriters have a degree of discretion should your case not be of the standard type.

It is crucially important that we discuss your circumstances with you and the nature of your desired borrowing, before we approach any of our contacts within the lending companies. Such lenders always ask us for quite comprehensive details before they even start to look at potential rates etc.

If you have any queries regarding commercial or semi-commercial mortgages please contact us with sufficient information to allow us to assist you.

Development Finance

If you are an experienced property developer or just starting-out on your first project, make sure that you speak with us about development finance. We have lots of experience in this area and we have excellent relationships with the key players in this market. It is advisable that we work together from the very start of the project, so that we can advise on the process of arranging finance and the steps involved. However, we have also successfully arranged development finance for projects which have been part-completed.

We also arrange Development Exit loans which are designed to release funds from your completed project, so that you can move on to your next project swiftly.

Give us a call to discuss your plans and we will explain what level of funding you will be able to access as well as the method by which those monies will be released.

Maximum Borrowing Calculator

Repayment Calculator

Frequently asked questions

Answers to the most common question we get asked
What is equity release in the UK?
Equity release is a financial product that allows homeowners, typically aged 55 and over, to release a portion of the value (equity) in their property, either as a lump sum or in installments, while continuing to live in their home.
What are the eligibility criteria for equity release in the UK?
To be eligible for equity release in the UK, you typically need to be at least 55 years old and own a property that meets the lender's criteria. Some providers have minimum property values and age requirements.
Are there risks associated with equity release in the UK?
Yes, there are risks. Equity release can reduce the inheritance you leave behind and affect your entitlement to means-tested benefits. It's important to consult with a qualified advisor to understand the potential risks and benefits.
How is the equity release loan repaid in the UK?
With a lifetime mortgage, the loan is typically repaid from the sale of the property when you pass away or move into long-term care. If you have a partner, repayment occurs when the last person on the plan leaves the property.
What are the costs associated with equity release in the UK?
Costs associated with equity release may include arrangement fees, legal fees, valuation fees, and interest charges. These costs can vary depending on the provider and plan.
How does equity release work in the UK?
Equity release works by either taking out a lifetime mortgage or a home reversion plan. With a lifetime mortgage, you borrow against your home's value, and the loan, including interest, is repaid from the sale of the property when you pass away or move into long-term care. A home reversion plan involves selling a portion of your property to a provider in exchange for a lump sum or regular payments.
How much can I release with an equity release mortgage in the UK?
The amount you can release depends on factors like your age, property value, and the specific equity release plan. Generally, the older you are and the more valuable your property, the more you can release.
Can I live in my home for the rest of my life with equity release?
Yes, you can live in your home for the rest of your life with equity release. You retain the right to live in your property until you pass away or move into long-term care
Can I move house if I have an equity release plan in the UK?
Some equity release plans allow you to move house. However, it's essential to check the terms and conditions of your specific plan, as there may be limitations.
Are there alternatives to equity release in the UK?
Yes, there are alternatives to equity release, such as downsizing to a smaller property, using other savings and investments, or seeking financial assistance from family members.
Avatar photoAvatar photoAvatar photo

Talk to our team

Can’t find the answer you’re looking for? Please chat to our friendly team.