We know that your home is very important to you. That's why our lifetime mortgages are designed to be clear and straightforward.
Here are some popular questions about our equity release products:
A lifetime mortgage isn't that different from the standard mortgage you probably took out when you first bought your home. It's a loan secured against the value of your home on which interest is charged.
However, unlike a standard mortgage, there are normally no monthly instalments to pay (although some providers may require you to pay the interest on the loan).
With both equity release products from LV=, the interest is added to the loan to be repaid on the death of the borrower or if the borrower goes into permanent residential long term care. The loan is usually repaid from the profits of the sale of the property.
This is a lifetime mortgage. To understand the features and risks, ask for a personalised illustration.
Read more about our lifetime mortgages.
The maximum you can borrow depends on your age and the value of your property. With LV=, this ranges from 20% of the value of your property if you are 60, to 50% if you are 95.
You can either borrow a lump sum as a one-off payment or you can choose to borrow a smaller amount initially and agree a maximum loan with us, which you can draw on from time to time over a 15-year period.
This way you'll only be borrowing, and therefore paying interest on, the amount you actually need.
Yes, you will if you take out a lifetime mortgage with LV=.
However, if you decide to move, you may be able to transfer your lifetime mortgage with you to your new property subject to it meeting our lending criteria.
We'll allow you to transfer your lifetime mortgage to a smaller property as long as this also meets our lending criteria.
We won't charge you any penalties if we request you to repay part of the loan early because you're moving. Please note that you'll have to meet the actual costs of moving home.
Under current tax rules, if you borrow money on your house you don't pay tax on it and there is no stamp duty to pay.
But remember that tax rules do change from time to time. Any references we make to taxation are based on our understanding of current legislation and HM Revenue and Customs practice, which can change.
To find out if equity release is right for you, you might want to follow the 6 steps below:
Step 1: Advice
Find an equity release adviser you feel comfortable with. Your adviser will assess your personal situation and help you consider the alternatives of releasing income or capital that do not involve losing some of the equity in your home.
Step 2: Talk to your family
Discuss equity release with your family and intended beneficiaries to your will. They might be able to help you raise the money you need.
Step 3: Personalised Illustration
Based on your individual circumstances, your equity release adviser will prepare a personalised illustration for you to tell you exactly how equity release could work for you.
Step 4: Independent legal advice
If you don’t already have a family solicitor, find one who specialises in equity release. Your solicitor will not only sort out all the legal details but will make sure you fully understand how the lifetime mortgage works and all the implications before you go ahead.
Step 5: Application, valuation & offer
Once you and your adviser have decided on the right scheme, your home will be valued and you will be sent an offer detailing exactly how much equity you can release.
Step 6: Completion
If you are satisfied with all these details you can agree to take out an Equity Release scheme. Once you have signed the required documentation you will receive your money.
This is an equity release plan. To understand the features and risks ask for a personalised illustration.
ERA provides advice on a limited range of specially selected equity release plans which includes the LV= range of lifetime mortgages. Unless you decide to go ahead, their service is completely free of charge, as ERA’s typical advice fee of 1.5% of the amount released would only be payable on completion of a plan.
If you have a question that is not answered above you might like to search for some other commonly asked questions about our Equity Release.
You can phone Equity Release Assured
Speak to a specialist adviser for more information on equity release products:
0800 202 8116
9am - 5.30pm Monday to Friday
We may record and / or monitor calls for training and audit purposes.
If you already have an equity release plan please call:
0800 028 8974
8.30am - 5.30pm Monday to Friday
We may record and/or monitor calls for training and audit purposes.