Can equity release help you through the cost-of-living crisis?
With the cap on energy prices set to rise again this autumn and early next year, the cost-of-living crisis isn’t over yet.
Homeowners who are struggling to pay their bills, or enjoy the same lifestyle as before, may need to consider how to increase their cash flow.
Unfortunately, those on a fixed income – such as retirees – can’t rely on landing a better job or a promotion to fill the gap. To make matters worse, many older people also support children and grandchildren battling rising bills, house prices, and inflation.
Equity release could be one answer to this knotty problem, as well as helping with other long-standing issues such as care costs, interest-only mortgages, and a small pension pot.
Equity release works by borrowing money secured against your home, which is usually paid back when your home is sold after your death or when you move into residential care. This is also known as a lifetime mortgage, though other options are available.
However, unlocking money from your home has drawbacks, such as reducing the amount your beneficiaries will inherit from your estate, and affecting your entitlement to means-tested benefits. If you’re already receiving council-funded care in your home, you may have to pay more after you release equity.
Before making any major financial decision, we highly recommend talking to a qualified advisor. We’re also on hand to discuss other options, such as downsizing or improving your property’s energy efficiency to reduce your bills.
Contact our team anytime for friendly advice tailored to your unique situation.
This article was originally published by BriefYourMarket and is reproduced here with their permission.
For more company news and insights from Pygott & Crone, click here
Latest news
Understanding rent reviews and increases
The Renters' Rights Act 2025 introduced a clear and structured framework for rent increases in England's private rented sector that every tenant should understand.
Mortgage rates and refinancing decisions
Mortgage rates continue to be one of the biggest considerations for homeowners, buyers and landlords planning their next move.
Price your home right: The foundation of success
Every detail in a property sale—from photography and listing descriptions to viewings and negotiations—operates within the framework created by the asking price.
First-time buyer essentials: What you need to know
First-time buyers accounted for approximately 36% of all mortgaged property purchases in the UK in 2025, making them the largest single group of buyers in the market.
