What’s the Maximum You Can Get with Equity Release in 2025?
How much can you release from your home? Learn the real maximums, what affects them, UK vs NZ differences, quick formulas, examples, and pitfalls to avoid.
Equity Release Maximum – What You Can Borrow
Thinking about tapping into your home’s value? The first question most people ask is, "How much can I actually release?" The answer isn’t a simple number – it depends on age, property value, and the lender’s policy. Knowing the maximum amount helps you plan retirement income, avoid surprises, and keep your estate safe.
Key Factors That Set Your Maximum
Age is the biggest driver. Lenders usually allow older borrowers to release a higher percentage because the loan is expected to be repaid later, often after the house is sold. A 55‑year‑old might get 30‑40% of the property's value, while a 75‑year‑old could unlock 50% or more.
Property value matters too. Lenders base the limit on an official valuation, not the market price you think you could get. They also consider the type of equity release – a lifetime mortgage typically lets you release more than a home reversion plan because you keep ownership.
Outstanding mortgage balances cut into the available equity. If you still owe a mortgage, the lender will subtract that amount before calculating the release limit. Some lenders also apply a “risk buffer” – a safety margin of 5‑10% – to protect themselves if house prices fall.
How to Boost Your Equity Release Limit
One simple trick is to improve your property’s valuation. Small upgrades like fresh paint, a new kitchen, or better curb appeal can add a few thousand pounds to the assessed value, which directly lifts the amount you can release.
Another tip is to shop around. Different providers use slightly different percentages and risk buffers. A comparison can reveal a lender willing to offer 5‑10% more equity for the same property.
If you have a partner, consider a joint application. Combined ages and incomes can push the maximum higher, especially if one partner is older.
Finally, keep an eye on your credit file. While equity release doesn’t rely heavily on credit scores, a clean file can help you qualify for better rates, which in turn can increase the amount you’re comfortable borrowing.
Remember, the maximum isn’t the right amount for everyone. Pulling out the full limit can leave little equity for your heirs and may increase monthly interest. Use the figure as a ceiling, then work backward to decide a comfortable cash amount that meets your retirement goals.
Most providers give you a clear breakdown of how they arrived at the maximum. Ask for that spreadsheet, check the assumptions, and ask what would happen if house prices change. Understanding the calculation now saves you from surprises later.
In short, your equity release maximum is shaped by age, property value, existing debts, and lender policies. By boosting your home’s valuation, comparing offers, and keeping your finances tidy, you can push that ceiling higher and get a tidy sum for the years ahead.
