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Equity Release

If you are a UK homeowner aged 55 or over, we may be able to help you access money tied up in your home. 

Call to speak to an adviser

0800 096 7120

Mon – Fri 9am-5pm

Equity release may involve a lifetime mortgage or a home reversion plan. To understand the features and risks ask for a personalised illustration.

How does it work?

Equity Release is a way of unlocking a proportion of the value, or equity, you have in your home in exchange for a tax free lump sum; without having to move.


The Saga Equity Release Advice Service, provided by Just Retirement Solutions Limited, can help you decide if equity release could be right for you.

Equity Release - A short explanation
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What is Equity Release?

Equity Release

Key aspects

  • Whether or not you choose to take out equity release through the Saga Equity Release Advice Service, you won't have to pay a fee for the advice. If you do take out a plan then some fees such as solicitor and home survey charges may apply. 
  • When you book an appointment, your financial situation will be reviewed by an experienced and qualified adviser to assess whether equity release may be suitable for you or whether there may be a better way to achieve your aims. This will include an assessment of your eligibility for state benefits. 

  • Equity release isn't right for everyone, so if your adviser believes it's not suitable, they will tell you. There is no obligation for you to continue with your enquiry any further than you are comfortable with.
  • There are two main types of equity release - lifetime mortgages and home reversion plans. The Saga Equity Release Advice Service will be able to help you understand which of these could best suit you, depending on your individual circumstances.

  • The Saga Equity Release Advice Service provides you with access to a range of carefully selected plans and providers. Your adviser will recommend the product best suited to your individual needs and circumstances.

  • If you decide to take out a plan, Just Retirement Solutions Limited will pay Saga an introductory fee.

What are the benefits?

  • Continue living in your own home and use the funds released for almost anything you choose.
  • A ‘no negative equity’ guarantee, meaning that you will never owe more than the value of your home.

  • Flexibility to release cash as and when you need it, giving you greater control of your finances.*

  • A state benefits check is included as part of the advisory journey.

*Access to this type of feature depends upon the plan recommended.

Equity Release is not right for everyone. It may affect your entitlement to state benefits and will reduce the value of your estate.

Why choose Saga for equity release

1. Exclusive access to the Saga Equity Release Plan

Enjoy one of the best rates in the market – without all the usual set-up or valuation fees. This plan is available only through the Saga Equity Release Advice Service, so you won’t be able to access it through any other company.

Your adviser will let you know if the Saga Equity Release Plan is the most suitable for your individual circumstances. The Saga Equity Release Plan is provided by Just Retirement Limited.

2. The assurance of an established well-known company

Saga has been carefully choosing financial products for more than 25 years, supported by a high standard of service. We thoroughly researched equity release before introducing it to our customers so this should give you real peace of mind. You can also be reassured by our long history of customer care.

3. A member of the Equity Release Council

As members of the Equity Release Council, we're committed to protecting our plan holders by following their Statement of Principles and your adviser will only recommend plans offering a no negative equity guarantee.


Equity Release may involve a lifetime mortgage or home reversion plan. To understand the features and risks ask for a personalised illustration.

How it could help

Perhaps you’d like to make improvements to your home, pay off debts, or help your loved ones onto the property ladder.

Once you’ve released the equity from your home you can use it almost however you wish.

Think carefully before securing other debts against your home.

What our customers have been using equity release for

People use equity release for a number of reasons.

The below graph shows you how Saga customers have used theirs.

Equity Release graph

What some of our customers have said...
"With equity release I've managed to get my house back into shape, and get it the way I want it to be."
Mr. G Marshall

Berkshire

"Equity release has enabled us to pay off all of our debts and now have more money available every month. We cannot fault the service that was provided, they made everything very easy. The service was excellent throughout."
Mr. A

Shropshire

Case Study
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Mr and Mrs Johnson modernise their home

Fictional Case Study

Mr and Mrs Johnson, aged 72 and 70, have lived in their current property (a four bed detached house) for 26 years. They bought it for £100,384 and it is now worth around £272,041, a staggering increase of 171%. Having been there for so long, they couldn’t imagine living anywhere else. However, its upkeep has become quite expensive and it needs some modernising, especially as Mr Johnson has mobility difficulties and would benefit from a stair lift.

Their younger son read an article on equity release and suggested it as a way for them to remain in their home without reducing their standard of living. They sought specialist advice and once their circumstances were reviewed, which included looking into any available grants that might aid Mr Johnson’s mobility around the house, they were recommended a lifetime mortgage with a drawdown facility. This would provide them with £25,000 now to replace the kitchen and install a stair lift, plus another £15,000 for a longed-for trip to Australia to visit relatives. They also have the option to withdraw a further £49,774 from their property in the future. 

The interest will be added annually to the value of the loan, so they do not have any repayments to make. Also, interest is only charged on the amount of equity they actually release (plus the accumulated interest) – the funds that remain in their cash facility will only incur interest if they are withdrawn. 

In this fictional example, equity release has given Mr and Mrs Johnson the opportunity to adapt their house to their needs and give them some financial security at a time when they were beginning to worry about things getting a little tight. It has also enabled them to have the holiday of a lifetime.

Original and current house prices – Halifax House Price Index North West England July - September 2015. Released amounts based on Just Retirement Limited Roll-Up Lifetime Mortgage December 2015.

Am I eligible?

To be eligible for equity release you must:

Own and occupy a UK property of standard construction*

Be aged 55** or over (youngest applicant, if a couple)

Your property must be worth at least £70,000**.

Equity release is not right for everyone.
It may affect your entitlement to state benefits and
will reduce the value of your estate.

*The definition of standard construction may vary between product providers.

**Minimum age and property value varies between product providers.

Frequently Asked Questions


How much will the advice cost?

There is no fee charged for advice with the Saga Equity Release Advice Service whether you go ahead with a plan or not. So you can find out how much equity you could release and whether a plan would be suitable for you without worrying about the cost.

How much will it cost to take out an equity release scheme?

Costs will vary depending upon the provider, a rough estimate to set up a scheme being around £1,500* plus any fee you may have to pay your equity release adviser*. The fees involved include set-up, valuation and legal, these will also vary depending on the plan you take.

The Saga Equity Release Plan available through the Saga Equity Release Advice Service has no application, valuation or administration fees. You will receive £425 towards legal fees - paid to your solicitor on completion. If the legal fees come to more than this, you will need to pay the difference. Your adviser will tell you if you are eligible for this plan and whether it is best suited to your needs, if not and another plan is recommended then this may be subject to fees.

Whether or not you choose to purchase an equity release plan through the Saga Equity Release Advice Service, you won't have to pay for the advice that the service can provide you with.

*Equity Release Council website, FAQs, Feburary 2015

Am I eligible for equity release?

In most cases, to be eligible for equity release you will need to be at least 55 and own your home, and in the case of a joint application, both applicants should be aged 55 or over. 

The value of your property also affects eligibility, and the minimum amount varies by lender. The ownership status (leasehold or freehold), property type and even construction are all factors that influence the availability of certain products and lenders. Your specialist adviser will explain things fully and recommend products that are best suited to your circumstances.

Can other people live in the house?

Yes, but most lenders will require anyone living permanently in the property to sign a form acknowledging the equity release plan.

Will equity release affect my benefits?

All equity release plans will reduce the value of your estate and could affect your entitlement to state benefits. The Saga Equity Release Advice Service offers a full review of your entitlement to state benefits to ensure that, for any money raised, any corresponding reduction in state benefits will be clearly identified, discussed and taken into account. You will be made aware of any state benefit entitlement that you may be eligible for and are not currently claiming, and advised how to claim.

How much money will I get?

This depends on a number of factors, the main ones being your age and the value of your property. The older you are the greater proportion of your home’s value can be released. The amount you can borrow and the way in which you can borrow it, will depend on the plan you choose.

For a guide to the maximum amount you could potentially release from your home, try our free calculator. This gives an indication of the maximum amount you may be able to release and is based upon your estimated property value and the age of the youngest homeowner. It doesn't take into account your personal circumstances, for a personalised quote please call the phone number shown above.

Can I apply for equity release if my property has an outstanding mortgage?

A number of plan providers are happy to arrange an initial cash lump sum to be used to repay the outstanding mortgage on the property and any other debt you wish to repay. This will inevitably reduce the total sum that can subsequently be accessed.

Think carefully before securing other debts against your home.

Could I be forced to leave my home?

The Saga Equity Release Advice Service will only ever recommend plans that enable you to carry on living in your home until the last plan holder dies or moves permanently into long term care.

Do I still own the property?

If you have taken out a lifetime mortgage, the property remains in your name, as it would with a conventional mortgage. However, if you have taken out a home reversion plan, the reversion company will own all or part of your property (although you can continue to live there for the rest of your life).

How long will it take to get my money?

We would estimate that it normally takes about 3-4 months from the time you initially contact us and book an appointment with an adviser to the time you receive your money. This includes the time required for your adviser to do a full assessment of your situation, make their recommendations and for you to make your decision.

Understanding the risks

Equity release is not right for everyone. It may affect your entitlement to state benefits and will reduce the value of your estate.

Equity release may involve a lifetime mortgage or a home reversion plan. To understand the features and risks, ask for a personalised illustration. 


The Saga Equity Release Advice Service is provided by Just Retirement Solutions Limited. The Saga Equity Release Plan is provided by Just Retirement Limited. Saga Personal Finance is a registered trading name of Acromas Financial Services Limited, which is registered in England and Wales (Company No. 3023493). Registered office: Enbrook Park, Sandgate, Folkestone, Kent CT20 3SE. Acromas Financial Services Limited and Just Retirement Solutions Limited are authorised and regulated by the Financial Conduct Authority. Just Retirement Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

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