Many people are surprised to learn that equity release can be used not only to unlock cash from your home, but also to help fund the purchase of a new property.
A lifetime mortgage, which is the most common form of equity release, may allow homeowners aged 55 and over to release funds from their existing property and use them towards buying a new home. This can be particularly helpful for those looking to downsize, move closer to family, relocate for retirement, or purchase a property that better suits their lifestyle needs.
The amount you can borrow will depend on several key factors including your age, health and the value of your property. Generally, the older you are, the more you may be able to release. Some lenders may also offer enhanced terms depending on medical history or lifestyle factors. Property type and location will also be assessed by the lender.
At Koto Financial Services, we provide specialist advice on equity release Hertfordshire, and later life lending across the UK. As a trusted Mortgage Broker St Albans, we help clients understand whether equity release is suitable for their circumstances and guide them through the full process with clear, straightforward advice. We are a proud member of the equity release council. We uphold the highest industry standards.
Process of Buying a House with Equity Release
If you’re considering buying a property using equity release, the process is structured but straightforward when you have the right support.
- Speak with a specialist equity release adviser to review your circumstances
- Discuss your goals, including downsizing, relocation or retirement plans
- Assess whether equity release is suitable for your needs
- Receive a personalised illustration showing potential borrowing options
- Identify suitable properties that meet lender criteria
- Instruct a solicitor to manage the legal process
- Submit your equity release application
- The lender arranges a valuation of the new property
- Review and accept your formal offer
- Complete the purchase and move into your new home
At Koto Financial Services, we aim to make the process as smooth as possible. We can also introduce you to an excellent panel of trusted solicitors experienced in equity release transactions, helping to keep everything moving efficiently. As a true one-stop shop, we also support clients with access to trusted survey providers, ensuring you have the right information before committing to a purchase.
Free No Obligation Consultation
If you’re considering equity release, the best place to start is with a conversation.
During your free, no-obligation consultation, we will take time to understand your circumstances, explain how equity release works, and explore whether it could be suitable for your plans. We will look at factors such as age, health, property value and long-term objectives before outlining the options available to you.
We will also clearly explain the risks, benefits and long-term impact, helping you make a fully informed decision with no pressure to proceed.
At Koto Financial Services, we are an experienced Mortgage Broker UK supporting clients with later life lending, equity release St Albans but helping clients across the UK.
To book your free consultation.
Frequently Asked Questions
Can I use equity release to buy a new home?
Yes, in some cases a lifetime mortgage can be used to help fund the purchase of a new property, subject to lender criteria.
How is the amount I can borrow calculated?
It depends on your age, health, and the value of the property you are buying or using as security.
Will I need to make monthly repayments?
Most lifetime mortgages do not require monthly repayments, although some plans may allow voluntary payments.
Can I move house after taking equity release?
Many plans are portable, meaning you may be able to move in future, subject to lender approval and affordability criteria.
Is equity release suitable for everyone?
No. Equity release is not suitable for all clients and should always be considered carefully with regulated advice.
Risk Warning
A lifetime mortgage is a long term commitment which could accumulate interest and is secured against your home. Equity release is not right for everyone and may reduce the value of your estate.