Nationwide Equity Release Review
Nationwide previously offered a lifetime mortgage as part of its later life lending range. Existing lifetime mortgage customers continue under their agreed terms and may be able to borrow more or move their mortgage to a new property, subject to eligibility.
This Nationwide equity release review explains the former product, the options available to existing customers and the current alternatives for homeowners considering equity release.
Important: Nationwide is closed to new lifetime mortgage applications. New applicants will need to compare other providers.
About Nationwide
Nationwide is one of the UK’s largest savings provider and the country’s second largest mortgage provider. Formed by the merger of several companies, Nationwide, formally known as the Nationwide building society launched the UK’s first retail internet banking service and the first mobile banking platform.
Does Nationwide Still Offer Equity Release?
No. Nationwide no longer accepts new applications for its lifetime mortgage.
Existing Nationwide lifetime mortgage agreements continue under the terms agreed when the mortgage was taken out. Customers do not need to repay their loan simply because the product was withdrawn.
New applicants will need to compare active equity release providers. Other later life borrowing options may also be worth considering.
Nationwide Equity Release at a Glance
Nationwide is one of the UK’s largest member-owned financial organisations. It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
The information below relates to the historic Nationwide Building Society equity release product.
Key fact | Details |
Provider | Nationwide Building Society |
Product type | Lifetime mortgage |
Current availability | Existing customers only |
New applications | Closed |
Property ownership | Homeowner retained ownership |
Interest | Usually added to the mortgage |
Repayment | Normally after the last borrower dies or moves permanently into long-term care |
Existing customer support | Contact Nationwide using the details on your latest statement or mortgage correspondence. |
What Happened to Nationwide Lifetime Mortgages?
Nationwide launched its later life mortgage range in 2019. The Nationwide later life mortgage options included a lifetime mortgage for older homeowners.
It later stopped accepting new applications, but existing customers were not required to close or repay their mortgages. Their agreements continue under the terms originally agreed, including the applicable interest rate, repayment conditions and any early repayment charges.
For account-specific support, customers should use the contact information provided in their latest Nationwide mortgage correspondence.
Nationwide Lifetime Mortgage Features
This table summarises the former product. Individual mortgage terms may differ.
Feature | Details |
Product availability | Closed to new applicants |
Mortgage type | Lifetime mortgage |
Property ownership | Homeowner retained ownership |
Interest | Usually added to the mortgage, although optional repayments may reduce the balance |
Monthly repayments | Not normally compulsory |
Moving home | Subject to the original product and property criteria |
Additional borrowing | May be available to eligible existing customers |
Final repayment | Normally after the last borrower dies or moves permanently into long-term care |
Historic Product Note: Historic Nationwide lifetime mortgage rates were fixed, with no compulsory monthly repayments and the option to make partial repayments. The exact allowances, charges and conditions depend on each customer’s mortgage agreement.
What If You Already Have A Nationwide Lifetime Mortgage?
Your mortgage will continue under its original terms. Interest will be charged according to the agreement and, if it is not paid, will normally be added to the outstanding balance.
Depending on the plan, you may be able to:
Make optional repayments.
Apply for additional borrowing.
Transfer the mortgage to an acceptable new property.
Repay the loan and switch to another provider.
These options are not guaranteed, and early repayment charges may apply.
Use the contact details in your latest mortgage documents to speak to Nationwide. You should also consult a qualified equity release adviser before making any significant changes.
How much cash could you release with Age Partnership?
Can Existing Customers Borrow More?
Additional borrowing may be available to some existing customers, depending on their original plan, current property value, age and outstanding mortgage balance. Nationwide will assess applications against its eligibility criteria for existing customers.
Further borrowing is not guaranteed and may have a different interest rate from the original loan. Contact Nationwide before making financial plans based on additional borrowing.
Can You Move Home With A Nationwide Lifetime Mortgage?
You may be able to move the mortgage to a new home, provided the property meets Nationwide’s lending criteria.
The amount that can be transferred and any repayment required will depend on the new property and the original mortgage terms. Early repayment charges or other costs may apply, so contact Nationwide before committing to a sale or purchase.
Nationwide Equity Release Pros & Cons
Pros | Cons |
Nationwide is a recognised UK building society | The product is closed to new applicants |
Existing mortgages continue under their agreed terms | Interest can compound over time |
Homeowners continue to own their property | Equity release reduces the value of the estate |
Optional repayments may be available | Early repayment charges may apply |
Moving home or further borrowing may be possible, subject to eligibility | Options for existing customers may be limited |
Nationwide Equity Release Alternatives
New applicants searching for Nationwide equity release alternatives will need to compare active lifetime mortgage providers.
Provider | Best for | Lump sum | Drawdown | Optional repayments |
Range of lifetime mortgages | ✓ | ✓ | ✓ | |
Flexible product features | ✓ | ✓ | ✓ | |
Established provider | ✓ | ✓ | ✓ | |
Health and lifestyle considerations | ✓ | ✓ | ✓ | |
Broad lending options | ✓ | ✓ | ✓ | |
Specialist lifetime mortgages | ✓ | ✓ | ✓ |
Features vary between products and are subject to eligibility. A tick indicates that the provider offers the option within its lifetime mortgage range.
The right provider depends on your age, property value, borrowing needs, health, repayment preferences and inheritance goals. Compare the long-term cost and flexibility rather than choosing solely on the lowest advertised rate.
Can You Switch From A Nationwide Lifetime Mortgage?
An existing Nationwide lifetime mortgage may be repaid and replaced with a plan from another provider. However, switching is not automatically cheaper or more suitable.
Early repayment charges may apply. You could also have to pay for financial advice, a property valuation and independent legal work. These switching costs can add up, reducing or eliminating the benefit of moving to a lower interest rate.
Compare the projected cost of keeping your current mortgage with the total cost and potential benefits of switching. Seek regulated equity release advice to establish whether any saving justifies the charges and whether the new plan better suits your needs.
Is Nationwide Equity Release Worth It?
For new customers, Nationwide is not an available option because its lifetime mortgage is closed to new applications. You will need to compare current equity release providers or consider alternatives such as downsizing or a later life mortgage with monthly repayments.
For existing customers, suitability depends on the interest rate, outstanding balance, repayment options and early repayment charges. An older plan may still provide valuable features, even where newer products advertise lower rates.
Review your original terms and seek professional advice before keeping, repaying or replacing the mortgage.
Conclusion
Nationwide no longer offers lifetime mortgages to new customers, but existing plans continue under their agreed terms.
Depending on the mortgage, further borrowing, optional repayments, moving home or switching provider may be possible. Existing customers should contact Nationwide and discuss their individual options before taking action.
New applicants will need to compare active equity release providers. Whether reviewing an existing plan or considering a new one, compare the full costs, features and impact on your estate with help from a qualified adviser.
What should I do now?
We work in association with one of the UK’s leading specialists Age Partnership who compare schemes and have access to preferential rates with top UK companies. Their initial advice is completely free of charge and there is no obligation to proceed.
We work with
Our aim is to provide you with clear and accurate information to help you research your chosen financial products and services. The material on this site is for general information only and does not constitute any form of advice or recommendation.
If a link has an * by it, it means it is an affiliated link to an insurance company or broker that may result in a payment to the site. Should you use the equity release calculator, speak to an Age Partnership adviser and take out a plan out using their services, we receive a commission, however this will not affect the price you pay.
Also, from time to time you may see advertisements from third party companies who pay us a fee to advertise their services on our site.
None of the above arrangements constitute advice or recommendations, as other products and companies are available. You should always obtain independent, professional advice for your own situation.
The information provided on this site is accurate at the date of publication, occasionally however, things will change before we have had the opportunity to update them, so please do check. Always do your own research and take independent advice.
We do not investigate the solvency of any company mentioned on our website and are not responsible for the content on websites we link to.
Over50choices is an independent company and regulated by the FCA (No.594280) for insurance products only and a member of the Equity Release Council.