Updated 24th August 2021
You can quickly calculate how much equity you could release from your home in the UK with our range of calculators. To get you started, why not use our quick and free equity release calculator, to get an idea of the maximum you could borrow?
To get an idea of how much money you could borrow, you simply need to input the following:
We need this information as these are the criteria that lenders use when deciding how much money you can borrow.
This is a lifetime mortgage calculator and more, as the results not only show you how much you could borrow with a lifetime mortgage (the most popular type of equity release plan), but you can also see how much money you could get using an enhanced plan (if you have any health conditions) and an interest-only plan (where you make monthly interest repayments).
At Equity Release Supermarket, we offer you a comprehensive equity release mortgage calculator range, so that you can get an idea of how much money you could receive across all the different lifetime mortgages available as well as from retirement interest-only (RIO) mortgages.
To help you understand how releasing equity from your home could affect you in the future, we've also developed a range of analysis calculators.
All of our equity release and lifetime mortgage calculators are listed at the side of this page.
That depends upon the type of scheme you are interested in. If you're not sure, why not learn more about our range of plans first?
Lifetime mortgages, (the most popular type of equity release scheme), are a way for homeowners who are 55+ to access some of the equity that has built up in their homes over the years as they have gradually repaid their mortgages.
For example, if your home is worth £300,000 and you have fully repaid your mortgage, then you have £300,000 of equity in your property.
Read more about how they work and the different types of plans that are available on our Lifetime Mortgages page.
If you’d like to research all the lifetime mortgages that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
Lump sum lifetime mortgages allow you to borrow the maximum available to you, as a single, ‘one-off’ payment.
To understand the maximum you could borrow with a lump sum lifetime mortgage, you simply need to input the value of your property (which must be a minimum of £70,000 and in the UK), the age of the youngest homeowner (which must be at least 55) and your postcode (to understand where you live) – as these are the criteria that lenders use when deciding how much money you can borrow.
Our calculators not only show you how much you could borrow with this type of plan, but you can also see how much money you could get using an enhanced plan (if you have any health conditions) and an interest-only plan (where you make regular interest repayments).
Lump sum lifetime mortgages are one of the most popular type of plan and are sometimes called ‘standard’ plans, as they are the simplest type of scheme. There are typically no monthly repayments to make as the interest accruing ‘rolls up’ and is repaid with the initial amount borrowed when the plan ends. (Usually when the last homeowner dies or moves into long term care.)
Because of their simplicity, these plans tend to offer lower interest rates and lenders often allow you to borrow more. Many now come with flexible repayment options, which can be ideal if you wish to protect your inheritance.
Lump sum lifetime mortgages could also be the ideal solution if you have ‘big ticket’ plans for your money such as repaying your mortgage or helping children with a deposit for their first home.
If you’d like to research the range of lump sum lifetime mortgages that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
With an interest only lifetime mortgage, you repay the interest accruing on your plan every month. That way, when your plan ends, only the amount you initially borrowed is repayable to the lender. Use this lifetime mortgage calculator to calculate the maximum you could borrow with an interest-only lifetime mortgage.
A lifetime mortgage with interest-only repayments can be calculated by simply entering the value of your property (which must be at least £70,000 and located in the UK). Then you'll need to enter the age of the youngest homeowner(minimum 55 years old) and your postcode (to understand where you live) in order for us to give you a rough idea of how much money you could borrow.
Interest-only lifetime mortgages allow you to make regular interest payments on the money you have released and so tend to suit our customers who have a healthy disposable income.
They are often used to repay existing interest-only mortgages or capital and repayment mortgages where the existing lender won’t extend the mortgage into retirement. They could be an ideal solution to this particular problem because you don’t have to pass any lender affordability checks with a lifetime mortgage.
Or they can simply be used to maximise your inheritance. That’s because by maintaining regular monthly interest repayments, your balance will remain level throughout. So, as long as payments are maintained, when your plan ends, you will only have to repay the original amount released.
If you’d like to research the range of interest-only lifetime mortgages that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
With an enhanced plan, if you have certain pre-existing health conditions, the lender could allow you to borrow more, or you could access a lower interest rate. Use this lifetime mortgage calculator to calculate the maximum you could borrow with an enhanced/ill-health lifetime mortgage.
In order to calculate your maximum borrowing with an enhanced lifetime mortgage you will need to enter the value of your property (which must be at least £70,000). After that, lenders look for the age of the youngest person that is applying (which must be at least 55 years old) and the postcode (to know where you live) - because these factors determine how much money you can borrow.
Facts show that the number of health conditions increase as we grow older. For this reason, ironically a history of ill-health could actually be beneficial if you’re planning to release equity to help supplement your retirement income, or pay for big ticket items such as home improvements and adaptations.
Simply because having health conditions could allow you to release more money. Using similar underwriting as annuities, life expectancy can also be used to determine the size of your equity release.
Enhanced (or ill health) plans are only available if you have one or more of a range of health or lifestyle conditions. These vary from ones that you may be managing with prescription medication through to serious illnesses.
Making lifestyle choices, such as smoking or having a high body mass index also qualify.
If you’d like to research the range of enhanced lifetime mortgages that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
Home reversion was the original equity release scheme. Not popular now, you sell a % of your home to the lender in return for a lifetime tenancy. Use this home reversion plan calculator to understand the maximum you could receive with a home reversion scheme.
To get an idea of how much you could money you could access with a home reversion plan, you simply need to input the following information into the home reversion calculator; the value of your property (which must be a minimum of £80,000 and in the UK), the age of the youngest applicant (which must be at least 60), your postcode (to understand where you live), the % of your home’s equity you want to release (up to 100%) and whether you are applying by yourself or in joint names – as these are the criteria that home reversion providers use when deciding how much money you can release.
Home reversion plans were the forerunner of today’s modern lifetime mortgages. They have declined in popularity over recent years as lifetime mortgages now offer bigger lump sums and a range of flexible features that can be tailored to meet your individual needs.
That said, home reversion plans could still be an option to consider, dependent upon your property type and if you want to guarantee an inheritance for your loved ones.
If you’d like to research the range of home reversion schemes that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
Specialist plans that enable landlords to access some of the equity in their property portfolios. Use this lifetime mortgage calculator to calculate the maximum you could borrow with a buy-to-let lifetime mortgage.
To determine the maximum loan amount you might qualify for, you simply need to input the value of your property (which may be a minimum of £70,000). Secondly, you must enter the age of the youngest person applying (who must be at least 55 years old), along with your postcode (so that your lender knows where you live) - since these are the criteria lenders use when you apply for a plan.
If you have a single buy-to-let property or even an established property portfolio, you could release equity as a way to raise capital funds.
These specialist plans are designed to help landlords develop their buy-to-let (BTL) property portfolios, which, in turn, could ultimately benefit their tax and retirement planning.
Rather than selling your existing buy-to-let property to raise funds for retirement, thus potentially incurring capital gains tax, landlords are increasingly releasing equity to help mitigate their tax position.
By taking a tax-free lump sum from your BTL property investment, the rental income is unaffected, and the cash could be used to invest in further properties, or for lifestyle purposes as required.
If you’d like to research the range of buy to let lifetime mortgages that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
Specialist plans that allow people with other homes they don’t rent out, to access some of the money from the equity in the property. Use this lifetime mortgage calculator to calculate the maximum you could borrow with a second/holiday home lifetime mortgage.
In order to determine how much you might be able to borrow with a second/holiday home lifetime mortgage, you simply need to input the value of your property (which must be worth at least £70,000 in the UK). After that, you need to enter the age of the youngest homeowner (which must be 55 years old) and your postcode as (this is how lenders determine how much you could borrow).
If you have a second or holiday home, you could release equity as a way to raise capital funds.
These specialist plans are designed to help second homeowners access the money tied up in the value of their second property. Where homeowners are sometimes reluctant to secure anything against their main residence, equity can be released against a 2nd home instead.
Just as with any other lifetime mortgage – the most popular type of equity release plan, the money released is tax-free and yours to spend as you wish.
While the range of plans for second and holiday homes is not as extensive as it is for those wanting to release equity against their main residence, there are still plenty of options to meet your individual needs. Additionally, these plans come with competitive rates and flexible features.
If you’d like to research the range of second or holiday home lifetime mortgages that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
Mortgages that allow you to carry an existing interest only mortgage into retirement. By repaying the interest accruing each month, only the initial amount borrowed is repayable when the mortgage ends. Use this one to understand the maximum you could borrow with a retirement interest only mortgage.
To get an idea of the maximum you could potentially borrow with a retirement interest only mortgage – (RIO), you simply need to input the value of your property, the age of the youngest homeowner (which must be typically at least 50) and your postcode (to understand where you live) – as these are some of the criteria that lenders use when deciding how much money you can borrow.
Retirement interest only - RIO - mortgages have been specifically designed to help homeowners whose current interest-only mortgages are coming to an end to carry them forward into retirement. RIO’s can offer an alternative to releasing equity, where disposable income is available to meet regular lifetime monthly payments.
RIO’s work in the same way as an interest-only mortgage, whereby the accruing interest on the amount borrowed is repaid each month, however the main difference is the fact that RIO’s have no end date, or fixed term. As a result, RIO’s and interest-only mortgages differ in the way the loan is repaid. With a conventional interest-only mortgage, the balance is repaid at the end of the term agreed with the lender. With a RIO mortgage, the balance is repaid in the same way as a lifetime mortgage, which is when you die or move into long term care.
RIO mortgages are typically offered by smaller building societies and it’s important to remember that they are residential mortgages. Which means that you must pass the lender’s affordability checks to qualify and your home may be repossessed if you don’t keep up your monthly interest repayments.
If you’d like to research the range of retirement interest only - RIO - mortgages that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
You’ll be able to see the mortgage interest rates, along with their features and any offers from all the lenders across the retirement interest only – RIO - mortgage marketplace.
Once an initial amount is borrowed, the remainder the provider will lend you is held by them until you need it. Borrowing smaller amounts over time reduces the final amount of interest to be repaid when the plan ends. Use this lifetime mortgage calculator to calculate the maximum you could borrow with a drawdown lifetime mortgage.
To get an idea of the maximum you could borrow with a drawdown lifetime mortgage, you simply need to input the estimated value of your property (which must be a minimum of £70,000 and in the UK), the age of the youngest borrower (which must be at least 55) and your postcode (to understand where you live) – as these are the criteria that lenders use when deciding how much money you can borrow.
Your drawdown equity release mortgage calculator results are shown instantly and all in an easy to read table.
Drawdown lifetime mortgages are the most popular type of plan and it’s easy to see why.
Once the lender has determined the maximum they will lend you, this is placed in a ‘cash reserve’ facility with them.
Initially you have to borrow a minimum of £10,000 from your ‘cash reserve’, but then after that you are free to borrow as much as you like and as many times as you want to – until your cash reserve is fully used.
The minimum additional borrowing is typically £2,000, which means you can take smaller amounts for smaller expense items, without having to take more than needed.
There is no additional charge for making withdrawals, but the interest rate charged is the one that is current at the time – which may be different from the interest rate at the time you first borrowed.
Once set up with the lender, the money is usually received in your bank account within in a couple of weeks.
As interest is only charged on the amount you borrow (not on money in your cash reserve), this will reduce the final amount of interest to be repaid if you borrow in a series of drawdowns over time - rather than in one large lump sum.
If you are claiming any means-tested benefits, a drawdown lifetime mortgage may not affect your claim as the amount borrowed could be managed to keep under eligibility thresholds – which your local Equity Release Supermarket adviser will be able to talk through with you in detail.
If you’d like to research the range of drawdown lifetime mortgages that are currently available, then feel free to use our ‘Compare Deals’ functionality which is only available at Equity Release Supermarket.
Most lenders use 3 very simple criteria when they are considering how much they will lend you through a lifetime mortgage – the most popular type of equity release plan. They are the age of the youngest borrower (which must be at least 55), the value of the property (which must be at least £70,000 and in the UK) and finally the postcode of the property.
Our exclusive range of calculators will enable you to get a quick understanding of how much you could borrow across the range of lifetime mortgages, home reversion schemes and retirement interest only (RIO) mortgages.
An equity release calculator works very differently from a mortgage or remortgage one, as both of these are residential mortgages, whereas the most popular type of equity release is what’s known as a lifetime mortgage.
With a residential mortgage, lenders use very different criteria to calculate how much they will lend you. For example, residential mortgage interest rates are typically based on the amount you want to borrow against the value of your home (known as the loan to value or LTV). The higher the LTV, then typically the higher the interest rate.
With a lifetime mortgage, the interest rate is fixed for life and is based upon the age of the youngest applicant and the range of features you want to include in your plan. The older you are, the higher the LTV you can borrow and if you want to include more features, then this usually increases the interest rate you’ll be offered.
Another important difference between residential mortgage calculators and equity calculators, is that to be eligible for a residential mortgage, you’ll need to pass the individual lenders affordability criteria and credit checks. These do not apply when releasing equity and your credit status is not usually part of the calculation.
The amount you can borrow is based upon the age of the youngest applicant and the value of the property. The older you are, the more you can borrow. For example, if your home is valued at £300,000. At age 55, you can borrow a maximum of 28.5% of the property's value (the LTV). So that's £85,500. At 75 it's 50% - or £150,000. Our range of calculators will give you a rough idea of the maximum you can borrow with a lifetime mortgage, home reversion plan or retirement interest only (RIO) mortgage.
There are various costs to consider when releasing equity. These include the fee for the financial advice you receive (which is a legal requirement). This varies considerably. At Equity Release Supermarket, our advice fee is guaranteed to never be more than £995. Other companies use a % based fee on the amount borrowed. You can read more about the costs of releasing equity here.
Interest only (IO) lifetime mortgages could be an ideal way to borrow if you have the income available to make the monthly interest repayments. IO lifetime mortgages work very much like residential IO mortgages in that by repaying the accruing monthly interest, only the initial amount borrowed is repayable when the plan ends. As you are making regular repayments, the amount you can borrow is slightly less than with a ‘standard’ lifetime mortgage. At 55, you could borrow a maximum of 25.9% of the value of your property. At 75 it’s 48.5%. (Correct as 26.3.21.)
Lifetime mortgages are the most popular type of plan and as the name suggests, they are designed to run for the remainder of your lifetime and are typically repaid when the last homeowner dies or moves into long-term care. Our calculators for lifetime mortgages are designed to give you a rough idea of the amount you could borrow and the results are based upon the mortgage running for the remainder of your life.
Buy to let plans are only available from a few specialist lenders and they are not actually lifetime mortgages as they are not regulated by the Financial Conduct Authority (FCA). The amount you could borrow is determined by the value of the property – which is a minimum of £70,000 and maximum of £6m. The property must also be located in England, Scotland or Wales. The lender’s standard terms for loan-to-value (LTV) criteria then apply and these are much lower than for a lifetime mortgage. For example, they traditionally would start from 14% at age 55, rising to 45% between ages 90-95.
Home reversion is a different type of equity release and was the foundation stone of today’s flexible lifetime mortgages. You can read about how home reversion works here. The amount you can receive depends upon the % of your property you want to sell to the home reversion lender. Please note that home reversion works very differently to lifetime mortgages in that you are selling a % of your property to a lender in return for a lifetime tenancy. You no longer own your home as you do with a lifetime mortgage. To get an idea of what you could borrow, why not use our home reversion calculator?
Your local, expert adviser is on hand to answer all your questions. Over the phone, video or in person. Whatever is best for you. Plus, a chat with an adviser is free and you'll only ever pay for advice when your plan completes and your money is in the bank.
Compare all the latest and best equity release deals, from all the lenders across the whole marketplace. Plus, compare your other later life lending options - RIO and retirement mortgages. Only avaliable at Equity Release Supermarket.
