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Equity release fees and charges

To take our an equity release plan you must have financial advice, the costs for this advice can vary dramatically between different brokers. Here we provide an insight to the fees and charges

How much does equity release cost?

The fees and charges you'll pay when setting up a lifetime mortgage (the most popular type of equity release plan) are made up from the three parties involved. These are –

  • your financial adviser
  • the lender and
  • your solicitor

Just as with a residential mortgage, these fees can vary widely and so you could save a lot of money by doing a little research and shopping around. Let’s look at each of these costs in turn.

How much does a financial adviser cost?

To take out an equity release plan, you have to have financial advice – it’s part of the regulations enforced by the Financial Conduct Authority (FCA).

Most people prefer to use a broker with its own team of financial advisers, and you should make sure that the broker you choose is impartial, independent and has access to plans from the whole of the equity release market. They should also be members of the Equity Release Council – the industry’s trade body.

Some brokers can be tied to a particular lender, or maybe too small to gain access to special deals. Ideally, you’d want advice from an independent broker with economies of scale who’s able to secure competitive rates, reduced fees or extra incentives. And of course, if you speak to a lender directly, you’ll only have access to their plans, missing out on what the rest of the market has to offer.

You should make sure that the advice fee you’re charged offers good value for money. Why pay more than necessary for financial advice?

Compare Equity Release is part of the Equity Release Supermarket family and we tick all the boxes because we are wholly independent, impartial and because we one are one of the leading brokers in the UK, we have access to the very best deals from across the whole marketplace.

As you can see, our advice fee is also very competitive and significantly lower than the ‘big 2’ equity release brokers. We charge a fixed fee which is guaranteed never to be more than £995, so you’ll always know exactly what you’ll pay - no matter how much money you release.

Plus, we also don’t charge any upfront fees. So, with Equity Release Supermarket, you’ll never pay more than £995 for our advice – which is only payable when your plan completes. Until that point, our advice is free. If for whatever reason your plan doesn’t complete – we won’t charge you anything.

Advice fees

£995 Guaranteed
£995 is our flat rate and you won’t be charged any more
£1499 Minimum
Whole of the market advice fee. 1.99% of the amount released. Subject to a minimum of £1,499. That could be typically £1,989*
£1832 Typically
2.25% of the amount released, subject to a minimum of £1,695. That could typically be £2,249*
Advice fees as published on broker websites as 7th August 2020.
Average initial advance, lump sum plans in Q2, 2020 was £99,959. Equity Release Council, 28 July 2020.

What our customer have to say about us

I was made to feel important & valued. I was given all the available options & advised which option was best for me. None... READ MORE
Mrs W - Gosport, Hampshire
Darren King provided excellent service throughout - thank you. A very articulate, clear and timely communicator.
Mr & Mrs B - Boroughbridge, York
From initial conversation from internet enquiry to 1st meeting - NO pressure, no hassle conversations with Phil Totty. Process... READ MORE
Mr W - Bedlington, Northumberland
The financial adviser was proactive throughout the process, even when on holiday.
Mr B - Shrewsbury, Shropshire
Mike Sargeant was professional, but friendly. At no time did we feel any pressure to complete. The whole operation went... READ MORE
Mrs M - Tunbridge Wells, Kent
Mike Lewis is someone who goes the extra mile to ensured that everything I was concerned about was explained. Very helpful,... READ MORE
Mrs H - Walsall, West Midlands
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Mr G - Girvan, South Ayrshire
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Mr & Mrs T - Wisbech, Cambridgeshire
The adviser put us at ease, explained things in an easy, understandable way & answered any questions we had, fully. He advised... READ MORE
Mr & Mrs M - Middlewich, Cheshire
Contact with Marc Cookson was always very easy. He handled all my questions very clearly and very soon made me realise that... READ MORE
Mr & Mrs C - Market Harborough, Leicestershire

Property valuation/survey fee

Just as with a residential mortgage, your lender needs to value your property so that they know what the current market value of your home is. With this information the lender can calculate how much money they will release to you. Secondly, a valuation tells the lender if the property is in a suitable condition to lend. If they feel it isn’t, they may decide not to lend at all or insist that repairs are undertaken before they do.

The good news for you is that as the lifetime mortgage market is very competitive with lenders vying for your business. Many offer fee-free plans and will pay for your valuation, or offer other incentives such cashbacks or even pay your standard legal fees.

To find out more about the deals that lenders are currently offering, why not use our ‘compare deals’ tool?

Compare deals


How much are equity release solicitor's fees?

Compare Equity Release is part of the Equity Release Supermarket family and so we are members of the equity release industry trade body – The Equity Release Council.

The Council’s strict Code of Conduct insists that you must have at least one face-to-face meeting with an independent solicitor before taking out an equity release plan, to ensure that it is in your best legal interests.

You can choose to appoint your own solicitor - maybe they have dealt with your conveyancing matters before. However, experience has shown this can be the more expensive and a slower option, particularly as they are unlikely to be experts in equity release and know what’s involved.

We recommend that you use one of our specially selected panel of solicitors who will charge you a very competitive fixed fee starting from just £695 plus VAT (plus any additional disbursements). Your Equity Release Supermarket adviser is on hand to arrange this for you.

Using one of our panel solicitors also allows our dedicated case coordinators access to the solicitors online systems we have in place with them. This helps to manage any issues quickly and complete the legal aspects of taking out equity release as efficiently as possible.

Finally, using a solicitor from our panel means that if your plan doesn’t complete for whatever reason, you won’t be charged their legal fee.

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