Lifetime mortgage calculator

Get a quick indication of the costs involved with this helpful calculator and compare different types of lifetime mortgage.

People have told us that it can be difficult to understand how much equity release might cost them or their family. We built this calculator to try and give you a sense of how much a lifetime mortgage might cost over 10, 20 or even 30 years.

Crucially, it allows you to compare the costs of a lifetime mortgage where you are making monthly interest repayments vs instead choosing to roll up the interest without making any monthly repayments.

Equity release repayment calculator:

Do you plan to roll up your interest or make regular interest payments

Roll up interest Rolled-up interest This is where interest is not paid monthly, but instead is added to the outstanding amount of the loan (hence the phrase "rolled up"). Interest will then continue to accrue on both the total amount of money you borrowed and also any rolled-up interest being charged - creating a compounding effect where interest is charged on previous interest.

Monthly interest payments Monthly interest payments Interest is calculated as a percentage of the amount borrowed and is paid by you at the end of the monthly interest period.

Compare both options

How much do you plan to borrow? Borrowing amount The amount of money you wish to borrow.

Annual interest rate Annual interest rate Please enter the annual interest rate you want to use to calculate the cost of borrowing. For equity release this is typically between 3% and 5% but could be higher or lower.
Also known as an Annual Equivalent Rate (AER) - this represents the rate of interest charged over one year. Assuming interest is calculated on a daily basis, the AER takes into account the compounding of this interest over the course of the year.

Upfront fees and charges (we add these to the loan - leave blank if you intend to pay these fees upfront) Fees and charges These are the fees paid up front to secure the initial rate or set up the product. They might also include a financial advice fee or a valuation fee or be referred to as a booking fee, a product fee or an arrangement or reservation fee.

How many years do you want to calculate the cost of borrowing over? Borrowing term How many years you want to calculate your borrowing cost over.

Also show me costs over a range of time periods

Find out more about equity release

How could equity release help with rising mortgage costs?

Can I repay equity release or a RIO mortgage early?

Equity release – what are the risks?

Can I take money out of my property to give to my children?

Important Information

We have built this calculator to try and provide a simple way of giving a general indication of costs. To do this we have had to make a number of assumptions that may, or may not be, correct for your circumstances and any specific loan product you are looking at.

It’s vital to get a specific quote from the lender and speak to a qualified financial adviser before making any decisions regarding equity release.

We cannot accept responsibility for any errors. If you do notice any, or have any suggestions for improvements please do let us know at [email protected].