£300,000 home, age 65, standard: Max £90,000 (30% LTV). In 10 years: Owed £153,000 at 5.5% rate. Equity left £147,000.
Year
Debt
Interest
Equity Left
1
£95,400
£5,400
£204,600
2
£101,247
£5,847
£198,753
Equity Release: UK lifetime mortgage. LTV based on age/health (30–55%). Interest rolls up (compounds). Property growth 3%/year assumed. Estimates only — consult advisor/Equity Release Council.
An Equity Release Calculator is an online tool that helps homeowners estimate how much money they could potentially access from their property’s value without needing to sell or move out. It provides quick, anonymous calculations based on:
Your age
Property value
Type of equity release product
Property type
Unlike traditional mortgage calculators, equity release calculators focus on lifetime mortgages and home reversion plans, which are specifically designed for older homeowners (typically 55+).
How Does an Equity Release Calculator Work?
Our calculator uses industry-standard formulas to estimate how much you could borrow, considering:
1. Age-Based Percentage
The older you are, the more you can typically release (up to 50-60% of your home’s value).
Example: A 70-year-old may access 35-40%, while an 80-year-old might get 45-55%.
2. Property Value
Your home’s current market value directly impacts the available equity.
Most lenders require a minimum property value of £70,000+
3. Product Type
Lifetime Mortgage (Most Common): A loan secured against your home, repaid when you pass away or move into care.
Home Reversion Plan: Sell a portion of your home for a lump sum or regular payments while retaining the right to live there.
4. Interest Rates & Fees
Calculators factor in typical interest rates (5-6% APR) and compound interest effects.
How Does an Equity Release Calculator Work?
Our calculator uses industry-standard formulas to estimate how much you could borrow, considering:
1. Age-Based Percentage
The older you are, the more you can typically release (up to 50-60% of your home’s value).
Example: A 70-year-old may access 35-40%, while an 80-year-old might get 45-55%.
2. Property Value
Your home’s current market value directly impacts the available equity.
Most lenders require a minimum property value of £70,000+
3. Product Type
Lifetime Mortgage (Most Common): A loan secured against your home, repaid when you pass away or move into care.
Home Reversion Plan: Sell a portion of your home for a lump sum or regular payments while retaining the right to live there.
4. Interest Rates & Fees
Calculators factor in typical interest rates (5-6% APR) and compound interest effects.
Why Use Our Equity Release Calculator?
✅ No Personal Details Required – Get estimates without sharing sensitive information.
✅ Instant Results – See potential loan amounts in seconds.
✅ Compare Different Plans – Adjust age, property value, and product type to compare options.
✅ No Credit Checks – Calculations don’t affect your credit score.
✅ Regulated & Secure – Designed with UK financial regulations in mind.
Example Equity Release Calculation
Input
Example Value
Age
70 years old
Property Value
£300,000
Product Type
Lifetime Mortgage
Estimated Release
£120,000 – £150,000 (40-50%)
Note: Actual amounts depend on lender criteria and a full property valuation.
Who Can Use an Equity Release Calculator?
✔ Homeowners aged 55+ (some providers accept from age 45)
✔ UK property owners (England, Scotland, Wales, NI)
✔ Those with no outstanding mortgage or a small remaining balance
