If your home has spray foam insulation, you may have heard a frustrating message: “That could prevent you from getting a mortgage or equity release.”
For many homeowners, that’s been the reality - not because spray foam automatically makes a property unsafe, but because it can create uncertainty for surveyors and lenders.
The good news is that from March 2026, there’s a more practical route for some homeowners: LiveMore can consider applications where the cost of spray foam removal is included within the plan, meaning you may not need to fund removal upfront - subject to the property meeting criteria and a valuation based on the property’s post-removal condition.
What kind of homeowners could this help?
It’s worth saying: this isn’t only an equity release issue. If you’re over 55 and still have a residential mortgage - or you’re trying to remortgage, raise funds, or move home - spray foam can sometimes limit lender options. In many cases, lenders and surveyors want the foam removed before they’ll proceed, which can leave homeowners feeling stuck.
That’s where Lifetime Mortgages can be particularly relevant. Lifetime Mortgages are designed specifically for homeowners later in life and can offer different ways to borrow compared to “standard” residential lending.
Important note: this spray-foam removal route is currently offered through LiveMore’s Lifetime Mortgage range (rather than their RIO or standard residential mortgage products).
Why spray foam has become a barrier in the first place
Spray foam insulation sits on the underside of the roof. In some cases, it can make it difficult for a surveyor to inspect roof timbers properly or assess ventilation. That can raise concerns around hidden timber damage, trapped moisture, and condensation, and lenders can be cautious as a result. VBS (Verified Building Services) highlights these as common reasons removal is considered crucial, particularly where mortgage requirements or property sale obstacles arise.
In plain English: lenders prefer certainty. If a surveyor can’t confidently assess the roof structure, many lenders will either decline the case or require removal before they’ll proceed.
The practical problem homeowners face
Even when removal is the right solution, it created a catch-22:
- Many lenders want removal before they’ll release funds.
- Removal can cost several thousand pounds (and more, depending on the property).
- Most homeowners understandably don’t want to pay that upfront without confidence the plan will complete.
That’s why this LiveMore route is genuinely helpful: it’s designed to line the steps up sensibly, so you don’t have to gamble on paying for removal first.
What’s changed from March 2026: removal can happen before completion, without you funding it upfront
LiveMore’s approach is built around the property being valued in its post-removal condition, then removal taking place before completion - with removal costs settled from the loan proceeds if the loan completes.
Here’s the high-level flow:
- Your adviser submits an application to LiveMore.
- LiveMore instructs a valuation based on the property after spray foam removal.
- If the valuation is acceptable, you’re referred to VBS for a formal quotation with an onsite survey.
- The formal survey report and quotation are shared with you, your adviser and LiveMore.
- If you decide to proceed, VBS arranges removal with you and the work is carried out.
- VBS confirms to LiveMore that removal is completed in line with the loan requirements, and the loan completes.
- If the loan completes, VBS is paid from the proceeds of the loan (completion monies).
LiveMore also charges a £695 completion fee for this version of their products where spray foam insulation is involved.
Who are VBS (Verified Building Services) - and why they’re involved?
VBS is the specialist firm used in this process to organise and oversee spray foam removal. They act as a single point of contact, coordinating trusted contractors and overseeing the work so it’s carried out safely and to a consistent standard.
They describe spray foam removal as a specialist task requiring specific knowledge and equipment, and their process is designed around typical mortgage lender requirements.
VBS also provides coverage across England, Scotland and Wales. If anything additional is identified during the removal, they’ll discuss it with you before any extra work is carried out.
Their ‘Quote Guarantee’ means that if the work needed turns out to be more extensive than originally anticipated but still within the agreed scope of the original quote, VBS covers the additional cost.
If you request any changes or additions outside that scope, they’ll agree this with you first, and it may involve an additional charge.
What does spray foam removal typically cost?
Costs depend on the type of spray foam and how much needs removing. Indicative pricing used in the LiveMore/VBS guidance is:
- Open cell: £72.60 + VAT (£14.52) = £87.12 per m²
- Closed cell: £96.80 + VAT (£19.36) = £116.16 per m²
To make that more tangible, guideline examples (VAT included) include:
- Mid-terrace (2 bed): approx £4,700
- End terrace / semi-detached (3 bed): approx £6,420
- Detached house/bungalow (5+ bed): approx £10,080
These are indicative figures. The guidance also notes that a more accurate desktop estimate can be requested where the property is unusual, or where closed cell spray foam is installed.
A sensible note on timing and commitment
The benefit of this route is that it can reduce the need for a large upfront payment.
However, it’s still important to understand when costs become committed:
- Under VBS’ terms, a binding agreement is formed when you sign the acknowledgement form authorising them to proceed.
- If the loan completes, VBS’ fees are paid by the lender on your behalf from the loan completion monies (before any surplus is released).
- If the loan does not complete after work has started, you may remain responsible for paying for services supplied (or partly supplied), and if you cancel after costs have been incurred, a reasonable amount may be charged to cover work done and costs incurred.
- If you sign as a consumer by distance means, you have a right to cancel within 14 days, with the usual position that if you ask for work to start during that period and then cancel, you may be charged for work carried out.
That’s exactly why impartial equity release advice matters: we’ll help you follow the right sequence, so everything is lined up properly before anything is arranged.
Why whole-of-market advice matters more than ever with spray foam
Not all lenders take the same view on spray foam. Some won’t consider it. Others may consider it with specific evidence or conditions. LiveMore’s March 2026 route is helpful - but it won’t be the right answer for every property or every client.
Our role is to:
- confirm what’s needed for your specific property
- compare the wider market options
- and explain the total cost clearly (including LiveMore’s completion fee and any removal costs)
Next steps if you think spray foam applies to your home
If spray foam might be relevant, the best first step is a short conversation. We’ll help you confirm:
- discuss the type of spray foam that’s involved (if known)
- what the lender is likely to require
- whether LiveMore’s post-removal valuation route looks suitable for your circumstances
- and the best order of steps to keep everything tidy and predictable
If you prefer to start digitally, you can also check today’s LiveMore rates via our smartER research tool (remember to use the ‘LiveMore ‘ lender filter in your results).
We also have the dedicated LiveMore provider page on our website – and finally you can speak to an adviser to confirm what’s possible for your property.
Summary: what this means for you
- Spray foam insulation has often made later-life lending more difficult, because many lenders want it removed before they’ll proceed.
- From March 2026, LiveMore can consider cases where spray foam removal costs are included within the plan, potentially avoiding an upfront payment (subject to criteria and a post-removal valuation).
- The process is designed to follow a sensible order, with removal coordinated via VBS before completion, and paid from completion monies if the loan completes.
Want to check or discuss your options?
Call us on freephone 0800 088 5941 to speak to one of our friendly Equity Release Supermarket specialists, or find your local equity release adviser here.
