A way of unlocking some of the value of your home and turning it into tax-free cash.
The most common way to do that is with a lifetime mortgage. You can also release equity through a home reversion plan – but this isn’t something Saga Equity Release offer.
They’re similar to normal mortgages except you don’t pay back any money while you’re still living in your home. (Although you can choose to pay off some or all of the interest.) A lifetime mortgage is a loan secured against your home.
You still own your home. The money you borrow (and interest) is usually paid back from the sale of your property after you die, or if you move permanently into long-term care. If you have a joint lifetime mortgage with someone else it’ll stay in place until the last borrower dies or moves into permanent long-term care.
Most lifetime mortgages have a ‘no negative equity’ guarantee. That means you, or your estate or beneficiaries, will never have to pay back more than the amount the property sells for – even if it’s less than the mortgage amount owed.
Equity release could be a good way to get some extra cash. But because of the way it works, it will reduce the value of the estate you leave your loved ones. And it could affect any means-tested state benefits you get.
So you should think carefully about whether it’s the right thing for you.
Other eligibility criteria may apply. Have a look at our equity release calculator to see how much you might be able to get – you just need to enter a few details.
The money available from equity release is yours to spend on almost anything you want to. It can be used for home improvements and repairs, travel and hobbies, debt consolidation and family, simple day-to-day living expenses, and so much more.
When using equity release for gifting, the implications for inheritance tax is one area of many that you need to carefully consider before going ahead, and you need to seek professional advice before making a decision. Equity release will reduce the value of your estate and may affect your entitlement to means-tested state benefits.
As part of the Saga Equity Release service, you'll have access to a UK-based qualified adviser and support team, who will advise you on your options and outline solutions tailored to your specific circumstances.
The Saga Equity Release team will establish your eligibility and, if you'd like to go-ahead, can set up a meeting with an adviser. The adviser will discuss your needs and your circumstances, and pull together a recommendation report.
They'll also undertake a state benefits check to make sure that you're getting everything you're entitled to. If there are any alternatives to equity release that could help you get the funds you need another way, they'll discuss these with you.
Saga Equity Release is a no-obligation, no-pressure service dedicated to finding out if equity release is right for you. You’ll need to pay an advice fee of £799 if you decide to proceed and take out a Saga Lifetime Mortgage.
The Saga Lifetime Mortgage has lots of flexible options and features, and can be tailored to your circumstances. So at this step you'll talk to your adviser about how best to do that.
If you're happy with the recommendation and want to proceed, next it'll be time to apply for your lifetime mortgage.
Once Just have accepted your mortgage application, they'll aim to put the money into your solicitor's account within 40 working days.
If this doesn’t happen, Saga Equity Release will give you £100 under the Saga Service Promise (this only applies if you’re re-mortgaging your existing property, not if you’re buying a new one – find out more in the terms and conditions.
… on almost whatever you want. But if something changes and you don’t need the money, the Saga Lifetime Mortgage comes with a money-back guarantee. That means you can pay it back within six months of your completion with no penalties – so no interest or early repayment charges.
This guarantee only applies if your initial equity release payment is less than £150,000. There are other conditions. Find out more in the terms and conditions.
Use Saga's FREE lifetime mortgage calculator to get an instant estimate of just how much cash you could release from your property.
The team at Saga Equity Release can help you decide whether equity release is right for you. Arrange a call back at a time that suits you.
At Saga, we’ve been fulfilling the personal finance needs of the over 50s for more than 20 years, so we know our customers expect excellent service as well as high-quality products.
That’s why we’ve chosen HUB Financial Solutions Limited to provide Saga Equity Release – a no-obligation, no-pressure service dedicated to finding out if equity release is right for you.
The product available through Saga Equity Release is the Saga Lifetime Mortgage, which is available exclusively through this service.
Saga Equity Release, HUB Financial Solutions Limited and Just Group plc are members of the Equity Release Council. This industry body ensures that all equity release products are safe and suitable for customers.
As members of the council, both Saga Equity Release and HUB Financial Solutions Limited follow its strict Statement of Principles that protect customers at every stage of the equity release journey. Find out more about the Equity Release Council.
Saga Equity Release is provided by HUB Financial Solutions Limited, who will pay us an introductory fee if you go ahead with equity release using the service. HUB Financial Solutions Limited, part of the Just Group plc, is authorised and regulated by the Financial Conduct Authority. You can find out more about the service and fees on the Important information page.
There's plenty to explore and learn about equity release.
Our lifetime mortgage, the Saga Lifetime Mortgage, is provided by Just and is exclusively available through Saga Equity Release.
Is equity release the best way to free up tax-free cash in your home?
Common questions and their answers that should help you decide whether equity release could be the right choice for you.
What are your different options for equity release?
Considering equity release should involve as much wider reading as possible, here are some articles we hope you find useful.
For more information call the Saga Equity Release team today to help you find out whether equity release could help you. Saga Equity Release is provided by HUB Financial Solutions Limited.
Saga Equity Release is provided by HUB Financial Solutions Limited.