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  • Monday - Thursday

    9:00am - 8:00pm

  • Friday

    9:00am - 5:30pm

  • Saturday

    9:00am - 5:00pm

  • Sunday

    Closed All Day

Our Address

Key, Baines House,

4 Midgery Court, Fulwood,

Preston, PR2 9ZH


0800 531 6027

Lifetime mortgages

Unlock tax-free cash out of your home and retain ownership without the stress of moving

What is a lifetime mortgage?

A lifetime mortgage is the most popular form of equity release. It allows homeowners aged 55 and over to release tax-free cash tied up in their home. You can do it in two ways, either as a single lump sum or, following an initial release, in smaller amounts.

A lifetime mortgage is a loan secured against your home that’s typically repaid when you pass away or go into long-term care. With a lifetime mortgage you retain full ownership of your property and there are usually no monthly repayments to make. 
  • Available for homeowners aged 55 and over
  • A lifetime mortgage lets you release tax-free cash tied up in your home
  • You retain full ownership of your property
  • It's typically repaid when you pass away or move into long-term care
  • You can’t take out a lifetime mortgage without taking advice first

How lifetime mortgages work

You must take advice from a qualified equity release adviser to apply for a lifetime mortgage. It's a regulatory requirement.

The amount of cash you can release depends on things such as your age, health and the value of your home. With a lifetime mortgage, you can take either a lump sum, where interest accrues on the full amount from day one, or following an initial release in a number of smaller amounts, known as a drawdown. This could save you thousands in interest if you don’t need all the money straight away.

There are typically no repayments to make with a lifetime mortgage, as the loan, plus roll-up interest, is repaid when the plan ends. That's usually when you either pass away or move into long term care. When you take out a lifetime mortgage, the interest accrues, then rolls up and is added to the loan. This is also known as compound interest.

The tax-free cash you release through a lifetime mortgage can be used in a variety of ways – see how our customers used theirs.

Your adviser can personalise your plan to make it suitable for your needs and wants. It depends what’s important to you. For instance, with some of our plans, you can choose to guarantee an inheritance for your loved ones through inheritance protection.

Other features include the option to make capital repayments to reduce the overall cost of your plan. And for added peace of mind, we can personalise your plan with downsizing protection so you can move home in the future if you need to. That usually comes into effect after you’ve had the plan for five years and if your new property doesn’t meet our criteria.

As with any mortgage, what remains from the sale of your property after your plan has come to an end can be passed on as an inheritance. And because all of our plans meet the Equity Release Council standards, they all come with the no negative equity guarantee. That means you’ll never owe more than your home’s worth, so you can’t pass on any debt accrued through equity release to your loved ones.

Annual interest rates from as low as 2.24% fixed for life with us. Most Key Equity Release customers have received a fixed annual interest rate of 3.70% or lower. The overall cost for comparison is 3.88% APR. Lowest available rate correct as of 8 October 2020. All other stated rates correct as of 1 October 2020. Interest rate received and plan features are subject to eligibility. Ask for a personal illustration.

Enhanced Lifetime Mortgage

An enhanced lifetime mortgage plan could mean that you're able to release more equity from your home due to your health or lifestyle choices.

In circumstances of poor health or by making certain lifestyle choices, you may be entitled to an increased lump sum or a lower interest rate.

You or your partner may be eligible for an enhanced lifetime mortgage plan based on a number of factors, including but not limited to:
  • High blood pressure
  • On-going medical problems
  • Taking regular medication
  • Smoking regularly
  • History of heart issues
  • Being overweight

If you believe you may be eligible for an enhanced lifetime mortgage, and are interested in applying, speak to one of our expert equity release advisers.

Protected plans

You can protect a percentage of your home’s future value to be passed on as an inheritance with some of our equity release plans. Just make sure you make your adviser aware if this is important to you.

Combined options

Flexibility within lifetime mortgages means that you could benefit from a combination of options to not only save your estate money but also tailor your plan to your current and future needs.

Lifetime mortgage advice

The advice process

You have to get advice from a qualified equity release adviser in order to apply for a lifetime mortgage. It’s a regulatory requirement. Our fully-qualified advisers take the time to get to know you and your needs, ensuring they find the right solution for your circumstances. And if they don’t think equity release is the best option for you, they’ll tell you. All of our equity release advice is tailored to you and fee-free.

All of our equity release advice relates to our range of Key branded products and is completely free of charge. So, you can find out if it's right for you without it costing you a penny.

Lifetime mortgage calculator

See how much cash you could release from your home with our free to use and no-obligation online lifetime mortgage calculator.

Arrange advice

We always act in your interests and discuss alternatives which may be suitable for you. If equity release isn’t right for you, we’ll tell you.

Want to know more?

Download our free equity release guide to find out more about lifetime mortgages, our products and how we can personalise your plan.

Things to consider
  • You have to get advice before releasing tax-free cash from your home - please read all our information and make sure it’s right for you
  • Key Equity Release offer lifetime mortgages only, which is a loan secured against your home. It will reduce the value of your estate and may affect your entitlement to means-tested benefits
  • All of our plans meet the Equity Release Council standards and come with several protections, including the no negative equity guarantee, which means you’ll never owe more than your home’s value
Page last updated: Monday 12 October 2020