Provided you are over the age of 55, equity release allows you to access equity tied up in your property. This can be done in a lump sum, contributions or as a combination of both. There are two options when it comes to equity release: Lifetime mortgage and Home reversion.
The most popular equity release product is the lifetime mortgage. Lifetime mortgage is where a mortgage is taken out against your property whilst maintaining ownership.
Home reversion is where you sell part or all of your home to a home reversion provider in return for a lump sum or regular payments. You have the right to remain living in the property until you die provided it is maintained and insured. The percentage of the property that you own doesn't change, regardless of changes in property values and at the end of the plan, the property is sold and the proceeds split according to the remaining ownership percentages.