Equity Release age limits

It’s natural to want to know what restrictions are in place when you’re considering Equity Release, age is one of the most important factors, so what are the Equity Release age limits?

Equity Release through lifetime mortgage plans are available to homeowners aged 55 and above. Equity Release through Home Reversion plans are available from age 60. It’s worth remembering that not all providers lend to all ages, but most do so between ages 60 and 85.

If you’re younger than 55 there are other options open to you. You may choose to remortgage over Equity Release or take on a different financial product that offers monthly repayments.

What is the age limit for a lifetime mortgage?

From age 55 and above you can apply for a lifetime mortgage. In the case of Age Partnership you may be able to release up to 29.5% of your properties value, increasing with your age over time. The maximum amount of equity you could release is capped at 59.3%.

Equity Release schemes run until the applicant dies or when the last living applicant goes into long term care. For that reason there isn’t really an upper age limit, although lenders may choose to cap applications from 84 and above. A lender will have to make sure that the applicant is of sound mind and capable of making the decision to borrow when considering their application.

Here’s a list of providers and the varying age ranges the have for lifetime mortgages:

Provider Minimum age Maximum age
Pure Retirement 55 90
More 2 Life 55 88
Standard Life 55 84
Canada Life 55 90
Aviva 55 No Upper Limit
LV 60 95
Scottish Widows 55 85
Legal and General 55 90

Some lifetime mortgage lenders offer multiple plans, some of which are age-restricted. The table above summarises each Equity Release lender’s lifetime mortgages.

What is the minimum age for a home reversion plan?

Home reversion plans often have higher ‘minimum age requirements’ than lifetime mortgages, with most lenders only offering home reversion plans to customers aged over 60.

Taking out a home reversion plan involves handing over the ownership of all or part of your home to a reversion provider in exchange for either a lump sum or regular payments. Home reversion plans were very popular in the 90’s but have been overtaken in popularity by Lifetime Mortgages, with Home Reversion plans accounting for only 1% of equity release taken out in the last year.

Provider Minimum age Maximum age
Crown Equity Release 60 95
Norwich Union 60 85
Cavendish 60 95
Canada Life 60 90

While home reversion plans can provide you with more cash than a lifetime mortgage, the biggest drawback with a home reversion is that it involves selling part or all of your home. Not only this, but the cash that you receive will be less than the property’s market value.

Now that we have explored the age limits associated with Equity Release plans, we should consider how your age impacts the amount of money you can release.

How does my age affect what Equity Release mortgage I can get?

Lifetime mortgages start from age 55, but you may be interested in finding out how much you can borrow, depending on your age.

We’ve created a complete guide on calculating the maximum Equity Release with a handy calculator, which includes the impact of your age and property value.

Let’s look at a summary of the maximum percentage of your property value that you can borrow, depending on your age.

If you have any questions please don’t hesitate to reach out.

Loan to Value table of ages vs lifetime mortgage

Age Maximum Standard Terms Maximum Medically Enhanced
55 29.5% 43.6%
56 30.5% 44.9%
57 31.5% 46.0%
58 33.0% 47.2%
59 34.0% 48.5%
60 36.2% 49.5%
61 37.2% 50.3%
62 38.3% 51.5%
63 39.3% 52.4%
64 40.3% 53.5%
65 41.3% 54.4%
66 42.4% 54.5%
67 43.4% 54.5%
68 44.5% 54.5%
69 45.5% 54.5%
70 46.5% 54.5%
71 47.6% 54.5%
72 48.6% 54.5%
73 49.6% 55.0%
74 50.6% 56.2%
75 51.7% 56.4%
76 52.7% 56.5%
77 53.8% 56.7%
78 54.8% 56.8%
79 55.8% 57.0%
80 57.0% 57.1%
81 58.0% 57.3%
82 58.2% 57.7%
83 59.3% 57.8%
84 59.3% 57.9%
85 59.3% 57.9%
86 59.3% 57.9%
87 59.3% 57.9%
88 59.3% 57.9%
89 59.3% 57.9%
90 59.3% 57.9%
91 59.3% 57.9%
92 59.3% 57.9%
93 59.3% 57.9%
94 59.3% 57.9%
95 59.3% 57.9%
96 58.0% 57.9%
97 58.0% 57.9%
98 58.0% 57.9%
99 58.0% 57.9%


Why is there a minimum age for Equity Release?

People who want to use Equity Release schemes have to be a certain age so that the providers can make money from them.

Equity Release providers set a minimum age threshold so that they can control and limit the risk that they take on. Suppose you take out a lifetime mortgage, the provider lends you a certain amount of money, and when your home is sold, the money will be paid back to them.

In the long run, this loan could end up costing you more than the value of your home. Lifetime loans, on the other hand, have a “no negative equity guarantee,” which means that the loan repayment can’t go over 100% of the home’s sale value.

For this reason, they have to set an age limit on Equity Release and who can get a lifetime mortgage. This way, the provider doesn’t lose money.

Similar rules apply to home reversion schemes. Because the provider doesn’t want to have to wait too long before they can sell their share of the property and make money, the lower age limit here is often 60.

How age impacts lifetime mortgage interest rates

They set a percentage release amount (or Loan To Value) for each plan by age. The older you are, the more equity you can get out of your home. That’s not all.

It doesn’t matter how old you are when you get a loan, but your age does affect how much you can borrow. Because the closer you are to borrowing all of the money you can, the higher the interest rate will be.

For Further Reading….

Equity Release and Inheritance Tax
Equity Release and Deprivation of Assets
How Long Does Equity Release Take?

How age impacts lifetime mortgage interest rates

They set a percentage release amount (or Loan To Value) for each plan by age. The older you are, the more equity you can get out of your home. That’s not all.

It doesn’t matter how old you are when you get a loan, but your age does affect how much you can borrow. Because the closer you are to borrowing all of the money you can, the higher the Equity Release interest rate will be.

Personal loan

Personal loans, like secured loans, are often geared at those who are still working and receiving an income rather than those who are nearing retirement.

If you simply need to borrow a little sum over a short period of time, personal loans are usually a better alternative than secured loans.

Secured loan

In terms of age restrictions, secured loans will favour younger borrowers over older borrowers who are qualified for Equity Release plans. A secured loan, also known as a second charge mortgage, allows you to acquire more funds while offering your property as collateral to the lender.

They are normally available to anyone in the United Kingdom who is a current homeowner with adequate equity in their home and a consistent income.

Can Equity Release be used to buy a second home or property?


If you’re not currently bound into a specific fixed or tracker rate, you could explore remortgaging your existing arrangements as an alternative to one of the above options. Again, this alternative would benefit people who are still making a living and have enough equity in their homes.

What alternatives are there to Equity Release if I’m under 55?

One alternative to an Equity Release mortgage would be to consider selling your existing property and downsizing to a smaller one.

So, for example if your main residence was sold for £400,000 and you bought another for £250,000 you would have released £150,000 equity whilst avoiding any interest costs and/or fees associated with an Equity Release scheme.

However, the desire to downsize does not always coincide with the need to raise extra money. This is when an Equity Release mortgage may best suit your requirements.

What are the alternatives to Equity Release if I’m over 55?

Retirement Interest Only (RIO) mortgage

Retirement interest-only (RIO) mortgages allow you to borrow money in retirement and repay the interest on a monthly basis until you die, sell your property, or move into a care home. The debt is repaid after your house is sold.

However, while you may be able to borrow larger amounts with this option, you will also need to pass an affordability assessment, so it may only be suitable for individuals with a regular, set retirement income.

How can Joslin Rhodes help?

If you have any further questions please don’t hesitate to get in touch by using the form below.

For Further Reading …

Equity release types

How long does equity release take?

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