Share Dealing

Home reversion plans

There are lots of different equity release products available today – each with their own features and benefits. Read on for more information about home reversion plans.

What is a home reversion plan?

As with a lifetime mortgage, a home reversion plan gives you either a tax-free lump sum or a number of cash payments.  

You can sell part or all of your home to a reversion provider and continue to live there rent free. When the last person named on the agreement and living there dies or moves into permanent long-term care, the ownership of the property transfers to the provider.

However, if you only sold a proportion of your home to the provider, they will receive an equivalent proportion of the proceeds of the property when it’s sold, with the remaining proceeds being passed on to you or your estate.

You can usually release higher amounts of cash with a home reversion plan than with a lifetime mortgage, but you’ll receive less than the market value of the property because the reversion company will want to avoid any potential loss in value during the time you remain in the home.

Things to think about


  • Tax-free lump sum
  • There's no interest to pay as it’s not a loan
  • You can usually release higher amounts than with a lifetime mortgage
  • You'll benefit from any increase in value on any share of the property that you still own
  • You can live in your home rent-free for the rest of your life or until you leave it to move into permanent long-term care.

Things to consider

  • It will reduce the value of your estate
  • The reversion company owns a share, or all, of your home
  • You will receive less than the current market value of your home
  • Your entitlement to state benefits may be affected
  • Home reversion plans can be repaid, but your home would need to be bought back from the reversion company at full market value.

Am I eligible for a home reversion plan?

You must own a property in the UK
You must be living in that property
The youngest homeowner must be at least 65 years old
The property must be worth £120,000 or more

Why consider equity release from Saga?

Deciding on whether equity release is right for you is understandably a big decision. You’ll want to be sure that you’ve considered all the facts and looked into your options with someone you can trust to act in your best interests. That’s why we’ve partnered with HUB Financial Solutions Limited to bring you the Saga Equity Release Advice Service.

The Service offers a free no-obligation consultation, however, if you choose to proceed with a recommended product, an advice fee of £750 is payable on completion. It’s worth remembering that if you are a Saga Possibilities member you’ll benefit from not having to pay an advice fee upon completion.

HUB Financial Solutions Limited provide an unbiased advice service, which means your adviser will spend time understanding your financial circumstances in detail, so that they can recommend the most appropriate product for you.They pride themselves on the quality of their service and take pleasure in seeing how equity release transforms people’s lives.

Your adviser will only recommend equity release products that meet the standards 

of the Equity Release Council, who oversee the industry and its members,

 and ensure that their strict standards and principles are upheld.

Whenever you’re ready, we’re here for you.

See how much tax-free cash you could unlock with our free calculator.

or alternatively if you have a question or would like to speak to someone call: 0800 096 7120

Monday – Friday, 9am - 5pm (Calls are monitored for training and regulatory purposes)

Use our calculator 

Information about our provider

The Saga Equity Release Advice Service is provided by HUB Financial Solutions Limited who will pay us an introductory fee if you decide to take out a product. The Saga Regular Drawdown Lifetime Mortgage and the Saga Equity Release Plan are provided by Just. Just is a trading name of Just Retirement Money Limited. Saga Personal Finance is a registered trading name of Saga Personal Finance Limited, which is registered in England and Wales (Company No. 3023493). Registered office: Enbrook Park, Sandgate, Folkestone, Kent CT20 3SE. Saga Personal Finance Limited is authorised and regulated by the Financial Conduct Authority. HUB Financial Solutions Limited and Just Retirement Money Limited, both part of Just Group plc, are authorised and regulated by the Financial Conduct Authority.