There are some obvious benefits from entering into an equity release including providing you with some capital now when you need it and all reputable equity release mortgages in the UK are protected by a No Negative Equity Guarantee which means you are entitled to remain in the property regardless of whether the debt owed exceeds the value of the property .

There are also some disadvantages which need to be considered, these include decreasing the value of your estate and the effect on your entitlement to means tested benefits. You should also be aware of the effect of compound interest which means the debt increases significantly over time.

Equity release works well for some people but is not suitable for everybody. It is essential that you obtain financial advice on whether an equity release is suitable for you and if so which type of product is the most appropriate. We would recommend that such advice is given by a specialised adviser, such as a member of the Society for Later Life Advisers.

Next step