Compare equity release interest rates
Compare equity release lifetime mortgage interest rates currently on offer from the leading providers and you could get a tax free cash sum to use as you wish.
The comparison table below shows you some of the best equity release interest rates on the market, all of which come with a no negative equity guarantee for your protection.
These are just a few of the lifetime mortgages available so when you are ready, we recommend you speak to an independent expert who can compare the equity release market on your behalf, free of charge.
Latest news May 2022: Equity release interest rates are at some of their lowest ever and will be fixed for the rest of your life - so now could be a good time to consider your options
Lifetime mortgage interest rates
Let's take a look at how the leading lifetime mortgage providers compare:
Please note: Rates correct as at 1st March 2022. Rates vary by provider & depend on your personal circumstances and whether you prefer a cash lump sum or an income - LATEST OFFER May 2022 - 3.57% APR exclusive deal through Age Partnership when you use our calculator*.
Equity release interest rates
Equity release interest rates range from 2.30% to 4%. Rates can either be fixed or variable with a capped limit. The cost of lifetime mortgages has reduced as interest rates are now lower than before. However, as the interest charged is compounded, lifetime mortgages remain significantly higher cost than standard mortgages.
The good news is that rates have continued to reduce throughout 2020 and 2021. So instead of paying as much as 7% for an equity release mortgage, you could now benefit from interest rates as low as 2.30%.
If you prefer to keep your interest rates on equity release low, some lifetime mortgages let you repay a percentage of the interest each year, so the loan won't be as high when it's repaid.
Also, by choosing a drawdown lifetime mortgage that lets you take an initial amount and further cash sums as and when you want, you’re only charged interest on the equity released, not the money held in reserve. The interest rate charged for each payment will depend on the rate at that time.
Find out more about how equity release interest works and the different types of lifetime mortgages available to you.
Find the best equity release interest rates
If you're considering unlocking money tied up in your home but want to understand more about the current interest rates available on a lifetime mortgage, then it's important to get advice from the experts.
Leading specialist Age Partnership compare equity release with a wide range of leading UK lenders, meaning they’re not limited to certain companies. What’s more, they’ve also agreed special rates and incentives with lenders you may not be able to get elsewhere.
An easier way to compare equity release plans
If you are considering unlocking the money that is tied up in your home but want to know more about it, you’ll find a wealth of information right here at Over50choices. We can guide you through all aspects of both lifetime mortgage and home reversion plans; from understanding more about the different types of plans available, right through to the pros and cons.
You can also use our equity release comparison table to compare the key features available and read our reviews on leading providers.
Getting the best advice
Whether you prefer to speak to Age Partnership over the phone or face to face, the choice is yours. They will talk through your requirements, fully explain how plans work; help you consider whether it’s right for you or if other options are available such as downsizing and provide you with comparisons and a written illustration that you can talk through with your family.
Age Partnership provide initial advice for free and without obligation. Only if you choose to proceed and your application completes would a typical fee of £1,795 be payable - which can usually be taken for the cash sum. These articles could help if you want to find out how much equity you can release or how much equity release costs to arrange.