What Are the Costs?

There are a number of costs involved in setting up an Equity Release scheme. Some are deducted from the money you receive, others are payable separately.

  1. Valuation Fee. This pays for the lender’s valuation of your property and usually comes to around £250 for a property worth £170,000, although some lenders may offer free valuations. This charge must be paid when you submit the application form.
  2. Arrangement Fee. This covers the cost to the lender of setting up the plan and is usually from £500-700. This is usually either added or deducted from the money you borrow or you can pay it before your mortgage completes.
  3. Legal Fees. These are paid to your legal adviser to cover the costs of conveyancing and should be between £400-500. They are also deducted from the advance.
  4. Our Fees. We charge a maximum fee of £995 which will be payable upon completion of an Equity Release product. We will also be paid commission from the company that lends you money or buys your home.