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Helping the family with equity release

How could tax-free cash from equity release help your family? Give an early inheritance, help with a mortgage deposit or pay for tuition fees.

Wouldn’t it be great if we were still around to see our family enjoy their inheritance? Well, with equity release you could live a more comfortable retirement – and give some money to those you care about most.

grandparents with their grandchildren sitting on a sofa laughing together

You could lend a hand to your loved ones

So, you’re thinking about unlocking cash from your home with equity release? When your later years roll around and you retire, having some extra money could make your lifestyle much more comfortable.

If you decide to take out equity release – and you still have some money to spare after you’ve taken care of yourself – it’s only natural that you’d want to give your loved ones a helping hand, too. And if this is the case for you, wouldn’t it be great to put your cash to work for the good of your family?

three pairs of hands holding two piggy banks

See your inheritance in action

Perhaps your children or grandchildren are heading off to university soon, or they’re making wedding plans. As you may already know, these things don’t come cheap – a year of tuition fees now costs around £9,000, and the average cost of a wedding in the UK is at an all-time high.

If any of this sounds familiar and you’d love to be able to make a contribution, equity release could be the answer. If eligible, you could unlock between £10,000 and £100,000 or even more (depending on your age and the value of your property). And when you do, it’s yours to spend as you wish.

With the extra funds, you could to do the things you’ve dreamed of and still have some to spare for the people you care about. Giving loved ones some of their inheritance during your lifetime means that you can see the difference it makes to their life and the pleasure it brings.

If someone close to you is struggling to save for a mortgage deposit, you could always consider using equity release to...

young family bringing boxes into a property

Help them onto the property ladder

We’re always hearing about rising property prices. And as a homeowner, you may well have benefited from them over the years.

Let’s put things in perspective…

If you bought your first home in 1976, you’d have paid an average of £12,704* for it – which is unheard of today. Maybe you’ve seen the price of your home grow over the years – and you’ve managed to pay off your mortgage – and it’s one of the reasons you’re considering equity release in the first place. After all, it’s a safe way to unlock extra cash without having to sell up and move to a smaller property.

Meanwhile, the younger generation are having a hard time affording homes of their own. And when the average UK house price now stands at £226,071^, it’s no wonder. Perhaps your own children or grandchildren are struggling to save the deposit needed for a mortgage – and they could do with a hand getting on the property ladder.

*Office of National Statistics
^UK House Price Index as of November 2017

young couple sitting on a sofa surrounded by packing boxes

You could boost their mortgage deposit

The good news is that you could give them some financial assistance with equity release. Whether it’s a full mortgage deposit or a boost to their savings, your gift could provide a welcome leg-up when they need it most.

Of course, how much they need for a deposit will depend on their circumstances. But wouldn’t it be more useful to help your children or grandchildren buy a home today, rather than waiting until you pass away? After all, it’ll give them a good start in life.

Do you pay tax on equity release?

Nope, the cash sum you release is completely tax-free. You can read more about how it works in our guide to equity release.

Though you won’t be taxed on the initial cash sum, here’s something to bear in mind: unlocking cash with equity release could affect your eligibility for means-tested state benefits (like council tax reductions, income support and pension credits).

There are many different avenues with equity release that can change depending on your circumstance. For example, if you give a loved one a deposit for their house and die within 7 years, there may be a tax charge on this money. This is a very complex area, which is why you must make sure you talk to an Age Partnership Financial Adviser to thoroughly talk through your own personal case. Your financial adviser will talk you through all the ins and outs of equity release and the possible outcomes for you and your family.

(Our SunLife Equity Release Service can put you in touch with one whenever you’re ready).

extended family hanging out together in the lounge

Equity release is a family decision

However you’re planning to use the cash from equity release, make sure you talk to your family members first. They’ll want to know about your financial plans for your future, and it’s your chance to let them know you’d like to lend them a helping hand.

Just bear in mind, releasing equity from your home will reduce the value of your overall estate – and the amount you’re able to leave as an inheritance when you’re gone.

Whenever you’re ready, we’re here for you

For more information and to check your eligibility, call The SunLife Over 55 Equity Release Service today on 0800 633 5566 or request a call back.

SunLife offers a range of straightforward and affordable products including over 50s life insurance, funeral plans, life insurance, equity release, pet insurance, home insurance, car insurance, ISAs and Will writing services

Here's the information that you need to know about who we are and the other companies that we work with in order to provide our products and services.

Who are SunLife? 

Phoenix Life Limited trades as SunLife and is the provider of the Guaranteed Over 50 Plan, SunLife Insurance and the life insurance policy payment option for Funeral Plans. Phoenix Life Limited’s registered office is at 1 Wythall Green Way, Wythall, Birmingham, B47 6WG (registered in England, no. 1016269). Phoenix Life Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority and is entered on the Financial Services Register (registration no. 110418). As part of SunLife’s commitment to quality service and security, telephone calls may be recorded.

SunLife Limited distributes financial products and services and is a company limited by shares, registered office: 1 Wythall Green Way, Wythall, Birmingham, B47 6WG (registered in England, no. 05460862). SunLife Limited is authorised and regulated by the Financial Conduct Authority and is entered on the Financial Services Register (registration no. 769427).

You can contact us by post at SunLife, PO Box 1395, Peterborough, PE2 2TR or by phone on 0800 008 6060.

If you choose to add Funeral Benefit Option to your Guaranteed Over 50 Plan the funeral services are arranged and provided by Dignity Funerals Limited. Dignity Funerals Limited is a company registered in England and Wales No. 00041598. VAT registered No. 486 6081 14. 4 King Edwards Court, King Edwards Square, Sutton Coldfield, West Midlands, B73 6AP. Telephone No. 0121 354 1557. Fax No. 0121 355 808. Part of Dignity plc. A British Company. Dignity is not authorised or regulated for this activity by the Financial Conduct Authority or the Prudential Regulation Authority but is a member of the National Association of Funeral Directors.

Who provides the Funeral Plans?

The funeral services are arranged and provided by Dignity Funerals Ltd which is not authorised or regulated for this activity by the Financial Conduct Authority or the Prudential Regulation Authority but is a member of the National Association of Funeral Directors.

The life insurance policy that pays for your funeral will be provided by Phoenix Life Limited, trading as SunLife.

Who provides My Smarter (ISA)?

My Smarter (ISA) is provided by Scottish Friendly Asset Managers Limited. Authorised and regulated by the Financial Conduct Authority. Details can be found on the Financial Services register, registration No. 188832. Member of The Investment Association. Registered Office: Scottish Friendly House, 16 Blythswood Square, Glasgow G2 4HJ.

Who provides the Will writing services?

Hugh James is authorised and regulated by the Solicitors Regulation Authority (SRA Number:303202).

The information contained on this website is based on Hugh James' understanding of the law of intestacy in England and Wales only as at April 2014. The law in Scotland and Northern Ireland is significantly different. This is for information purposes and is not intended to be legal advice.

Who provides Family Life Insurance?

SunLife Family Life Insurance is provided by Scottish Friendly Assurance Society Limited which is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Details can be found on the Financial Services register (registration number 110002). Registered Office: Scottish Friendly House, 16 Blythswood Square, Glasgow G2 4HJ. 

Who provides SunLife Pet Insurance

SunLife Pet Insurance is arranged and administered by BDML Connect Limited. BDML Connect Limited is authorised and regulated by the Financial Conduct Authority (No. 309140). Registered in England and Wales Number 02785540. Registered Office: 45 Westerham Road, Bessels Green, Sevenoaks, Kent, TN13 2QB.

Who provides SunLife Home Insurance

SunLife Home Insurance is arranged and administered by BISL Limited and underwritten by a panel of insurers. BISL Limited are an intermediary authorised and regulated by the Financial Conduct Authority. Registered in England no. 03231094. Registered office Pegasus House, Bakewell Road, Orton Southgate, Peterborough PE2 6YS.

Who provides SunLife Car Insurance

SunLife Car Insurance is arranged and administered by BISL Limited and underwritten by a panel of insurers. BISL Limited are an intermediary authorised and regulated by the Financial Conduct Authority. Registered in England no. 03231094. Registered office Pegasus House, Bakewell Road, Orton Southgate, Peterborough PE2 6YS.