Equity Release Drawdown Calculator

Calculate equity release drawdown options, interest accumulation, and inheritance impact. Plan your retirement funding strategy with confidence!

🏠 Property Equity • 💰 Flexible Drawdown • 📈 Interest Tracking • 🛡️ No Negative Equity

Equity Release Parameters

Current market value

Outstanding balance

Additional Drawdowns

0% 2.5% 8%

Property Equity Status

£280K
Remaining
Released Equity
Remaining Equity

Equity Depletion Risk

Safe Moderate High Critical
Low Risk

Drawdown Schedule

Compound Interest Formula:

Product Details:

Type: Drawdown • Rate: Fixed • Guarantee: No Negative Equity • Currency: GBP

Interest Accumulation

Low
Medium
High
Critical

Equity Release Guide

What is Equity Release?

Equity release allows homeowners aged 55+ to access the equity in their property without having to sell and move. The most common type is a lifetime mortgage where interest compounds over time.

Final\ Debt = Principal \times (1 + r)^t

Types of Equity Release

  • Drawdown Lifetime Mortgage: Release equity in stages as needed
  • Lump Sum Lifetime Mortgage: Release all equity at once
  • Home Reversion: Sell part/all of property to provider
  • Retirement Interest Only: Pay interest monthly, capital on death/sale

Key Considerations

  • No Negative Equity Guarantee: You'll never owe more than your home is worth
  • Compound Interest: Interest is added to the loan and compounds annually
  • Inheritance Impact: Reduces the value of your estate
  • Right to Remain: You can stay in your home for life

Important Safeguards

  • All providers must be FCA regulated
  • Independent financial advice is mandatory
  • Cooling-off period of 14 days minimum
  • No negative equity guarantee protection
  • Right to make voluntary repayments (conditions apply)