Equity release schemes are designed for the over 55’s to release cash tied up in their home. This market is booming, highlighting the growing popularity of this form of finance in later life and with greater choice and flexibility we expect this trend to continue.

The money released from a property can be used for a number of purposes.

From our experience, some of the main reasons people want to raise money include:

Cost of living – pay off a mortgage, car loan or other personal debts or to create an emergency fund. Top up your income or help with health or later life care costs.

Home improvements – make small improvements and repairs or a full makeover to provide the home of your dreams.

Help family – an early inheritance to children can make the world of difference to them and you have the pleasure of watching them enjoy and value the help and options that this allows. Help with deposit for a home or even pay of their mortgage. There are many other ways to help – pay for a wedding, towards school or university fees for grandchildren.

Use for a treat, including:

Travel – this may be weekend breaks, touring, dream holidays or an around the world cruise.  For some this is an opportunity to organise a special holiday and priceless memories for the whole family.

Holiday home – a home in the UK or overseas in a place that you love to visit and spend time.

New vehicles – a new car, motorcycle, motorhome or caravan.

Leisure - visits to the cinema, theatre, concerts, special events and restaurants.

Hobbies and fun – that new camera or guitar or many other special items that make your life in retirement special.

However, care should be taken when using equity release to pay off other debts as debt advice may be more appropriate and any lump sum could affect access to some government benefits.

Overall, there are many uses for equity release but using the money tied up in your home needs careful consideration and we strongly recommend that you take professional advice.


Although every effort has been made to ensure that the information provided in this article is accurate and correct, the information provided does not constitute any form of financial advice. We recommend that you take financial advice before making any financial decisions.