Lifetime mortgages are no longer a niche solution - they’re an increasingly important tool in later life financial planning.
According to the Department for Work and Pensions’ Analysis of Future Pension Incomes 2025, around 43% of working-age people in the UK may be under-saving for retirement. And the Wealth and Assets Survey data from the Office for National Statistics (ONS) revealed that over-55s hold an estimated £3.7 trillion in property wealth. This means that lifetime mortgages can serve as part of proactive financial advice.
For mortgage advisers sourcing borrowing options for over-55s, the key is knowing how to spot when a lifetime mortgage may be worth considering, how to approach the conversation, and whether to train and qualify to provide equity release advice or refer your client.
Lifetime mortgages are generally available to homeowners aged 55 or over whose property is typically worth £70,000 or more.
During your exploratory questioning, clients may highlight a gap between the wealth in their home and the money they can access day-to-day. This may arise when clients:
While there is no single type of lifetime mortgage customer, there are key trends to be aware of across the later life market.
Source: Pure Retirement H1 2026 customer research and Pure Retirement’s 2026 regional data report.
A good way to identify if a lifetime mortgage could be the right option for your client is to review typical lifetime mortgage customer scenarios:
Clients exploring options for repaying or restructuring existing borrowing, who are running out of conventional borrowing options, who are facing maturing interest-only mortgages, unaffordable debts or with failed affordability on standard lending, and where downsizing, remortgaging, or an RIO plan isn’t suitable.
Clients navigating probate, divorce, care needs, inheritance planning, family gifting, or who may need to settle financial arrangements. Accessing property wealth with a lifetime mortgage can provide flexibility without disrupting long-term plans.
For clients with significant housing wealth but limited accessible savings, a lifetime mortgage can provide a flexible cash reserve to help fund day-to-day needs, supplement retirement income, cover unexpected expenses, and avoid the need to sell investments or downsize sooner than planned.
Clients with a strong attachment to their home or local area, or who need to stay close to family or support networks, may prefer not to downsize in later life. A lifetime mortgage can help them unlock equity to fund home improvements or adaptations that support ageing while remaining in familiar surroundings.
Some clients may want to use their property wealth to enjoy retirement more fully, whether that’s travelling, pursuing hobbies, helping family members, funding larger purchases, or supplementing their income to maintain the lifestyle they had planned.
Later life lending should form part of a mortgage adviser's consideration when assessing a client’s needs and objectives. Under Consumer Duty, firms must demonstrate fair value and suitability with clients receiving clear, tailored explanations.
To provide advice directly and help clients achieve the most suitable later life borrowing outcomes, you can either gain the appropriate equity release qualifications or choose to refer clients to a specialist adviser.
Watch this Twenty7tec podcast episode where they explore the practical routes available to advisers who want to get involved in later life lending while discussing referral models, partnering with specialists, training academies, industry support, and why having a base understanding of later life products is essential under Consumer Duty.
To provide equity release advice in the UK, you must hold the appropriate equity release qualifications and be FCA-authorised. Gaining these specialist qualifications allows you to incorporate lifetime mortgages and other later life borrowing solutions into your advice proposition.
Find out more about equity release qualifications and the steps involved in becoming a qualified adviser on the Advise Wise blog.
How to become an equity release adviserIf you don’t hold the required equity release qualifications, you can refer lifetime mortgage customers to a qualified equity release adviser and receive a referral fee. Referring a client doesn’t mean losing the relationship. Instead, it enables your client to receive specialist later life lending advice while allowing you to remain their trusted adviser.
Learn more about introducing clients for later life borrowing advice on our dedicated referral page.
Refer a client for specialist equity release adviceTo deliver consistently good outcomes, it’s important to build strong relationships with trusted professionals across the later life landscape, including specialist equity release advisers, later life lending firms, solicitors with relevant expertise, and care and retirement planning professionals.
Learn more on the Advise Wise blog, how to build a stronger equity release referral network
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DISCLAIMER: This content is intended solely for authorised mortgage advisers and independent financial advisers (IFAs) and is provided for educational and informational purposes only. It does not constitute financial advice, a recommendation, or an assessment of whether a lifetime mortgage is suitable for any individual client. Advisers should undertake their own suitability assessment and consider each client's personal circumstances before making a recommendation.
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