Equity Release Calculator
Equity release lets homeowners aged 55 plus access property wealth without selling. Release limits depend on age, typically 25% at 55 rising to 50% at 80 plus. Lifetime mortgages roll up interest; at 6.5% a £100,000 release becomes roughly £188,000 after 10 years. Enter details below and seek independent advice.
Calculation method: Interest-only and rolled-up interest. This tool runs a model on the figures you enter, so there is no official rate table behind the result.
Calculator
Current market value of your property.
Any existing mortgage must be repaid from the equity release proceeds. Leave as 0 if mortgage-free.
Minimum age for equity release is typically 55. Maximum release amount increases with age.
Current lifetime mortgage rates typically range from 5.5% to 7.5%. Roll-up means compound interest.
How many years to project the roll-up balance (estimate of how long you may hold the plan).
Leave blank to see the maximum you could release. Or enter a specific amount.
What this calculation assumes
Interest is calculated on the outstanding balance for each period. Where interest is rolled up rather than serviced, it is added to the balance and itself attracts interest in later periods, so the debt compounds.
- The rate you enter applies unchanged for the whole period
- Roll-up compounds monthly unless the calculator states otherwise
- Arrangement, valuation and exit fees are only included if you enter them
- No lender's actual product terms, early repayment terms or no-negative-equity guarantee are modelled
- Equity release is a regulated product; this model is not advice and no provider's terms are applied
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How Equity Release Calculator Works
We estimate the maximum releasable amount based on your age and property value, using typical LTV limits from leading equity release providers. For lifetime mortgages, we show how compound interest accumulates over your chosen projection period.
No-negative equity guarantee
All Equity Release Council approved products include a no-negative equity guarantee. You can never owe more than the sale value of your home, even if the compounded balance exceeds it.
This is an estimate
Actual amounts available will depend on the specific provider, property location, health status, and current rate environment. Equity release is a highly regulated product. Always use an FCA-authorised adviser.
Frequently Asked Questions
Equity release allows homeowners aged 55 or over to access the cash tied up in their property without having to sell or move. The two main types are lifetime mortgages (where you borrow against your property's value) and home reversion plans (where you sell a share of your home). It's regulated by the FCA and products must meet Equity Release Council standards.
The amount you can release depends on your age and property value. Older applicants can typically release more: at age 55, around 25%; at 65, around 35%; at 75, around 45%. Most providers have a minimum property value of £70,000 to £100,000 and a minimum release of £10,000.
With a roll-up lifetime mortgage, you don't make monthly interest payments. Instead, the interest compounds and is added to the loan balance. This can significantly increase the outstanding balance over time. At 6.5% interest rate, a £100,000 balance becomes approximately £188,000 after 10 years and £354,000 after 20 years. A no-negative-equity guarantee ensures you never owe more than your home is worth.
Yes. Alternatives include downsizing (selling your home and buying a smaller one), a retirement interest-only mortgage (you pay the monthly interest but only repay capital on death or care entry), borrowing from family, or using savings. Always compare these options with independent financial advice before committing to equity release.
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Sources and method
This calculator has no external rate table behind it. The result comes from the figures you enter and the model described in our methodology.
Method: Interest-only and rolled-up interest.
Spotted a figure that looks wrong? Report a correction and we will check it against the source above.
Further reading
Background references used while writing this page. The sources behind the calculated figures are listed above.
Disclaimer: This calculator provides estimates based on standard HMRC rates for 2026/27. Results may vary based on individual circumstances. This is not financial advice. Always consult a qualified accountant or CIMA-qualified financial adviser for personal tax matters.