What is a lifetime mortgage?

A lifetime mortgage is a type of equity release, a loan secured against your home that allows you to release tax-free cash without needing to move out.

Lifetime mortgages are available to homeowners aged 55 or over. You can take the money as a lump sum, series of lump sums or as a regular income. No repayments are required until you die or move out of your home into long-term care.

Whether you're looking to pay off an existing mortgage, make some home improvements, or gift money to a family member, a lifetime mortgage could help.

Lifetime mortgage pros and cons

You can only get a lifetime mortgage through a qualified equity release adviser, but it's important to understand the benefits and risks.

  • Tax-free cash

    When you release equity with one of our lifetime mortgages, you can take a lump sum in one go or a series of smaller lump sums when it suits you. You can also choose to take a monthly income if you prefer.

  • Spend it how you want

    You can use the money you release for home improvements, helping children buy their first property or to top up your monthly income. It's up to you.

  • Nothing to repay

    Unless you choose otherwise, there's nothing to repay until you die or move permanently into long-term care.

  • Flexible repayments

    If you prefer, there's an option to repay some or all of the interest. You can also choose to repay part of the original loan.

  • Stay in your home

    With equity release, you don't need to downsize and can stay in your home until you die or move permanently into long-term care.

  • You can still move house

    So long as the new property is acceptable to us - we don't lend against properties with thatched roofs, for example - you can still move house.

  • Inheritance protection

    Part of the value of your home can be passed on if you choose our Inheritance Protection option.

  • No negative equity guarantee

    Whatever happens you'll never repay more than the value of your home when it is sold - even if that's less than the amount owing. Subject to terms and conditions.

  • The interest can build up quickly

    If you choose not to repay anything until you die or move permanently into long-term care, the interest can rapidly build up over time. There may be cheaper ways to borrow money.

  • Reduced inheritance

    Even with our Inheritance Protection option, releasing equity with a lifetime mortgage is likely to reduce how much you can leave as an inheritance.

  • Inheritance tax

    If you gift the money, the recipient may need to pay inheritance tax in the future.

  • Early Repayment Charge

    If you choose to repay all or a significant part of the loan early, there may be an Early Repayment Charge.

  • Means tested benefits

    If you're receiving certain means tested benefits, taking a lifetime mortgage could impact your entitlement to these benefits.

  • Higher interest rates

    Usually the interest rates for a lifetime mortgage are higher than the rates charged for a traditional mortgage.

  • Less freedom to move house

    If you have no mortgage, you can move to any type of property. With a lifetime mortgage, the new home has to be acceptable to the lender.

  • Leaving an existing mortgage

    You may have to pay an Early Repayment Charge to your existing lender if you remortgage.

Is a lifetime mortgage right for you?

To be eligible to release equity from your home with one of our lifetime mortgages:

  • You must be aged 55 or over.
  • You must own (or be buying) your own home, with little or no mortgage left to pay.
  • Your home must be worth £100,000 or more.

Our lifetime mortgage specialists are available to answer any questions you have. Why not give us a call today. Or, if you'd rather, you can give us your number and we'll give you a call back.

Get lifetime mortgage advice Lifetime mortgage calculator

Equity release calculator

This calculator helps you see how much equity you could release with a lifetime mortgage, a loan secured against your home. We'll ask you to register your details to show you the calculation, then give you a call.

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This is a guide to the lifetime mortgage products we offer and not advice or a personal recommendation. You can only buy a lifetime mortgage through a financial adviser.

Our lifetime mortgages

Flexible product image

Flexible Lifetime Mortgage

If you'd like to take a lump sum, or a series of lump sums, and pay nothing until you die or move into long term care, select this option.

Flexible Lifetime Mortgage
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Optional Payment Lifetime Mortgage

If you'd prefer to take a lump sum, or a series of lump sums, and pay off some or all of the interest, this could be right for you.

Optional Payment Lifetime Mortgage
Income image box

Income Lifetime Mortgage

Or, if you'd like to have an income paid on a regular basis rather than a lump then take a closer look at our Income Lifetime Mortgage. 

Income Lifetime Mortgage

How much is a lifetime mortgage?

One of the main things people want to know about lifetime mortgages is how much the loan will cost.

Costs involved in releasing equity: These are the costs you need to pay during the process of releasing equity with a lifetime mortgage, for example arrangement fees and solicitors fees. We don't charge an advice fee.

Costs to release equity

Why Legal & General

Experienced lifetime mortgage specialists, since 2015 we've lent £4.4bn to over 89,000 customers.

Moneyfacts Equity Release 2019 logo

5-star products

Moneyfacts awarded our Lifetime Mortgages five stars in 2019.

Equity Release Council logo

Responsible lender

As a member of the Equity Release Council, we uphold their standards and safeguards.

Later Life Lender of the Year 2020

Later life lending specialists

Awarded Later Life Lender of the Year in The Mortgage Awards 2020

Get in touch about our lifetime mortgages

To speak to us about a lifetime mortgage, call our advice team on the number below.

For any other enquiries please get in touch via our contact us page

0808 301 70440808 301 7044

Monday to Sunday 8:30am - 8:00pm
We may record and monitor calls

More about later life mortgages

Find out more about your later life mortgage options.

Compare later life mortgages

Which later life mortgage is right for you?

Lifetime Mortgages (a type of equity release) and Retirement Interest Only Mortgages are sometimes grouped together as 'later life mortgages' or 'later life lending' products. While similar and often used for similar purposes, these are different products and it's important to understand the differences between the two. There may be cheaper ways for you to borrow money.

Find out more about our range of later life mortgages, or use our simple tool to find out which product might best suit your needs.

Compare later life mortgages Which later life mortgage?

Retirement Interest Only Mortgage

A type of residential mortgage.

A Retirement Interest Only mortgage is a loan secured against your home. You have to pay the interest off monthly, but the full amount of the loan isn't usually repaid until you die or move out of the home into long-term care. As a last resort, your home may be repossessed if you do not keep up repayments.

If you're looking to release some money from your home to pay off an existing mortgage, this is one of the options available to you.

About our Retirement Interest Only Mortgage Retirement Interest Only Mortgage calculator