Brought to you by Santander in partnership with Legal & General
Why Santander and Legal & General?
Santander don’t offer later life mortgages. So that our customers can explore a wide range of options we’ve partnered with Legal & General to offer their later life range.
Unless otherwise indicated, all references to 'us', 'we' and 'our' on this website indicate Legal & General.
Compare our later life mortgages
Our Lifetime Mortgages and Retirement Interest Only Mortgage may appear similar, but it's important to understand the differences between each product.
We've pulled out some of the key points below.
| Our Lifetime Mortgages | Our Retirement Interest Only Mortgage | |
| Age | 50+ for our Payment Term Lifetime Mortgage 55+ for our Flexible and Optional Payment Lifetime Mortgages |
55+ |
| Minimum loan amount | £10,000 | £10,000 |
| Maximum loan amount | Determined by your age and property value. For our Payment Term Lifetime Mortgage an affordability assessment is also required. |
Up to 60% of the value of your home, subject to an affordability assessment |
| Minimum property value considered | £70,000 or £100,000 for flats, maisonettes, ex council, ex housing association or ex Ministry of Defence properties. | £70,000 or £100,000 for flats, maisonettes, ex council, ex housing association or ex Ministry of Defence properties. |
| Is there an affordability assessment? | Yes, for our Payment Term Lifetime Mortgage No, for our Flexible and Optional Payment Lifetime Mortgages |
Yes |
| Is the loan secured against my home? | Yes | Yes |
| When do I have to repay the full amount of the loan? | The loan is usually repaid when you die or move out of your home into long-term care. | The loan is usually repaid when you die or move out of your home into long-term care. |
| Do I have to pay interest every month? | Yes, for our Payment Term Lifetime Mortgage, you have to pay the full interest monthly for your chosen payment term. As a last resort, your home may be repossessed if you fail to keep up repayments. No, for our Flexible and Optional Payment Lifetime Mortgages, the interest is charged on the loan amount plus any interest already added, so the amount owed will increase quickly over time. However, with our Optional Payment Lifetime Mortgage you can choose to pay off some or all of the monthly interest to prevent this. |
Yes - the interest due is payable in full by you each month. As a last resort, your home may be repossessed if you fail to keep up repayments. |
| Is the interest rate fixed? | Yes. The interest rate is fixed for the life of the loan. | Yes. The interest rate is fixed for the life of the loan. |
A mortgage may affect means-tested benefits, your tax position and any future inheritance.
Legal & General's later life mortgages
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Our product options
Make full monthly interest payments for a set term
If you're aged 50 or over, in some sort of employment and you'd prefer to take a lump sum and pay all the interest each month for a chosen payment term, our Payment Term Lifetime Mortgage could be right for you.
Make any monthly interest payments, with the option to stop anytime
If you're aged 55 or over and you'd prefer to take a lump sum, or a series of lump sums, and pay off some or all of the interest, our Optional Payment Lifetime Mortgage could be right for you.
Make no monthly interest payments
If you're aged 55 or over and you'd like to take a lump sum, or a series of lump sums, and pay nothing until you die or move into long term care, our Flexible Lifetime Mortgage could be right for you.
Lifetime mortgage pros and cons
You can only get a lifetime mortgage through a qualified equity release adviser, but it's important to understand the benefits and risks.
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Tax-free cash
When you release equity with one of our Lifetime Mortgages, you can take a lump sum in one go or as a series of smaller lump sums when it suits you. -
Spend it how you want
You can use the money you release for home improvements, helping children buy their first property or increase your income in retirement. It's up to you. -
Nothing to repay
Unless you choose otherwise, there's nothing to repay until you die or move permanently into long-term care. -
Flexible repayments
If you prefer, there's an option to repay some or all of the interest. You can also choose to repay part of the original loan. -
Stay in your home
With equity release, you don't need to downsize and can stay in your home until you die or move permanently into long-term care. -
You can still move house
So long as the new property is acceptable to us. -
Inheritance protection
Part of the value of your home can be passed on if you choose our Inheritance Protection option. -
No negative equity guarantee
Whatever happens you'll never repay more than the value of your home when it is sold - even if that's less than the amount owing. Subject to terms and conditions.
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The interest can build up quickly
Any unpaid interest can rapidly build up over time. There may be cheaper ways to borrow money. -
Reduced inheritance
Even with our Inheritance Protection option, releasing equity with a lifetime mortgage will reduce how much you can leave as an inheritance. -
Inheritance tax
If you gift the money, the recipient may need to pay inheritance tax in the future. -
Early Repayment Charge
If you choose to repay all or a significant part of the loan early, there may be an Early Repayment Charge. -
Means-tested state benefits
If you're receiving certain means-tested state benefits, taking a lifetime mortgage could impact your entitlement to these benefits. -
Higher interest rates
Usually the interest rates for a lifetime mortgage are higher than the rates charged for a traditional mortgage. -
Repaying an existing mortgage
You may have to pay an Early Repayment Charge to your existing lender if you remortgage. -
With the Payment Term Lifetime Mortgage your home may be repossessed
This may happen as a last resort if you fail to keep up with payments.
Equity release calculator
This calculator helps you see how much equity you could release with a lifetime mortgage, a loan secured against your home. We'll ask you to register your details to show you the calculation, then give you a call.
How to use this calculator
- If you want a joint lifetime mortgage use the age of the youngest applicant
- Once you have your result you can keep using the calculator to see the different ways you could release the money
Please ignore this part
Please ignore this part of the calculator and click on Skip this step.
Good news!
Based on the information supplied, you could release the amount below:
The maximum amount you could release is:
This is an estimate of the amount you may be able to release. The amount you can release depends on your property and individual circumstances. There may be cheaper ways for you to borrow money.
Based on the information supplied, you could release up to:
This is an estimate of the amount you may be able to release. The amount you can release depends on your property and individual circumstances. There may be cheaper ways for you to borrow money.
Good news!
Based on the information supplied, with our Payment Term Lifetime Mortgage you could release:
The maximum amount you could release with our Payment Term Lifetime Mortgage is:
This is based on you making monthly interest payments until you retire. As a last resort, your home may be repossessed if you fail to keep up repayments.
Based on the information supplied, with our Payment Term Lifetime Mortgage you could release:
This is based on you making monthly interest payments until you retire. As a last resort, your home may be repossessed if you fail to keep up repayments.
This is an estimate of the amount you may be able to release. The amount you can release depends on your property and individual circumstances. There may be cheaper ways for you to borrow money.
Good news!
Based on the information supplied, with our Payment Term Lifetime Mortgage you could release:
The maximum amount you could release with our Payment Term Lifetime Mortgage is:
This is based on you making monthly interest payments until you retire. As a last resort, your home may be repossessed if you fail to keep up repayments.
If you don't want to make monthly interest payments or you want to stop making monthly interest payments at any time then the maximum amount you could release with our other Lifetime Mortgages is:
Based on the information supplied, with our Payment Term Lifetime Mortgage you could release:
This is based on you making monthly interest payments until you retire. As a last resort, your home may be repossessed if you fail to keep up repayments.
If you don't want to make monthly interest payments or you want to stop making monthly interest payments at any time then the maximum amount you could release with our other Lifetime Mortgages is:
This is an estimate of the amount you may be able to release. The amount you can release depends on your property and individual circumstances. There may be cheaper ways for you to borrow money.
Next steps
We'll check if you meet the eligibility requirements and then put you through to Legal & General to discuss further if a later life mortgage is right option for you.
0800 032 6984
Monday to Friday 9:00am - 5:00pm. We may record and monitor calls.
A lifetime mortgage is a loan secured on your home. Interest is charged on the loan plus any interest already added. This means the amount you owe can increase quickly over time.
Step 1 / 2
How would you like to receive your money?
There's more than one way to release your money with one of our Lifetime Mortgages.
A lifetime mortgage will reduce the equity left in your home and the value of any inheritance. A lifetime mortgage is usually repaid when the last borrower dies or moves out of the home and into long term care.
Subject to property value and eligibility.
In yearI'd like to take an additional lump sum ofStep 2 / 2
Your options for taking a lump sum
Depending on how you need the money, you can receive it as a one off cash lump sum or as a series of smaller cash sums as and when you need it. The option to take lump sums in the future is not guaranteed and will depend on whether you're still eligible to borrow more money.
There's an option to pay the interest off as you go. Talk to us for more information.
You may be able to borrow between and
Total you've chosen below:
Total remaining:
Step 2 / 3
Your options for a regular income
If you're interested in a regular income, you can select this to be paid for a set number of years.
Once the fixed income term ends the monthly income will stop but interest will continue to roll up until the lifetime mortgage is repaid.
Over how many years would you like your income to be paid?
I'd like to take a lump sum ofThough you've chosen a regular income, you have to take an initial lump sum of at least £2,500. You can take more than this. It's your choice.
I'd like a monthly income ofYou've chosen a and an initial lump sum of . That means you could receive a monthly income of up to for .
The information you've provided means that you don't meet the minimum eligibility criteria for the Income Lifetime Mortgage. Please consider another option.Step 2 / 2
You're interested in a lump sum of
This is an estimate of the amount you may be able to release. The amount you can release depends on your property and your individual circumstances. Taking a lifetime mortgage could affect your eligibility for state benefits.
You're interested in a series of lump sums
This is an estimate of the amount you may be able to release. The amount you can release depends on your property and your individual circumstances. Taking a lifetime mortgage could affect your eligibility for state benefits.
You're interested in a regular income
Term:Initial Lump Sum:Monthly Income:This is an estimate of the amount you may be able to release. The amount you can release depends on your property and your individual circumstances. Taking a lifetime mortgage could affect your eligibility for state benefits.
How is interest calculated on a lifetime mortgage?
Our Lifetime Mortgages have a fixed interest rate for life, which means it will not change for the duration of your loan. Interest is charged on a compounding basis, which means that interest is charged on the loan amount plus any interest already added.
Interest on our Lifetime Mortgages is calculated daily and added to the amount you owe each month. This means if you're not repaying the interest, the amount you owe will quickly increase over time, reducing the equity left in your home, especially if the loan continues for a longer period. There may be cheaper ways to borrow money.
Examples of how compound interest works on our Lifetime Mortgages
The tables below show how much you might owe over if you didn't make interest payments in the first five, after 10 years; after 15 years; and after 20 years with example compound interest rates of 6%, 7%, and 8% on an initial loan of £50,000.
Year Loan amount Interest at 6% Total owed 1 £50,000 £3,000 £53,000 2 £53,000 £3,180 £56,180 3 £56,180 £3,371 £59,551 4 £59,551 £3,573 £63,124 5 £63,124 £3,787 £66,911 10 £84,474 £5,068 (£39,542) £89,542 15 £113,045 £6,783 (£69,828) £119,828 20 £151,280 £9,077 (£110,357) £160,357 The figures shown in brackets is the total amount of interest which will be added onto the original loan.
The rate you will get will be based on your individual circumstances.
Year Loan amount Interest at 7% Total owed 1 £50,000 £3,500 £53,500 2 £53,500 £3,745 £57,245 3 £57,245 £4,007 £61,252 4 £61,252 £4,288 £65,540 5 £65,540 £4,588 £70,128 10 £91,923 £6,435 (£48,358) £98,358 15 £128,927 £9,025 (£87,952) £137,952 20 £180,826 £12,658 (£143,484) £193,484 The figures shown in brackets is the total amount of interest which will be added onto the original loan.
The rate you will get will be based on your individual circumstances.
Year Loan amount Interest at 7% Total owed 1 £50,000 £4,000 £54,000 2 £54,000 £4,320 £58,320 3 £58,320 £4,666 £62,986 4 £62,986 £5,039 £68,024 5 £68,024 £5,442 £73,466 10 £99,950 £7,996 (£57,946) £107,946 15 £146,860 £11,749 (£108,608) £158,608 20 £215,785 £17,263 (£183,048) £233,048 The figures shown in brackets is the total amount of interest which will be added onto the original loan.
The rate you will get will be based on your individual circumstances.
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A fixed rate interest-only mortgage available to ages 55+
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A fixed interest rate that will never increase.
So you'll always know exactly what your monthly payment is.
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Borrow up to 8.5 times your annual income.
Potential to borrow more based on your income than you can with other mortgage providers, subject to affordability checks.
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Interest-only monthly payments.
You only pay the interest each month, and it will never go up.
Our Interest Only Mortgage is a loan secured against your home.
As a last resort, your home may be repossessed if you don't keep up with the monthly payments.How much could you borrow?
Our affordability calculator will give you an idea of the amount you could borrow. Please make sure you complete the calculator as thoroughly as possible for an accurate result.
Once you've had a calculation, you'll need to speak to an Adviser, who can talk to you about your circumstances and complete a full Decision in Principle. This will provide you with the exact amount that can be borrowed; it's subject to the information you provided plus the results of a credit reference check. Applications are subject to our standard lending criteria, status and financial standing.
The calculator gives an estimate of the potential amount you could borrow but is not a guarantee of lending. Additional calculations and evidence will be required to fully assess how much you can afford to pay. This may reduce the amount we would be prepared to lend.
Think carefully before securing a loan against your home. As a last resort, your home may be repossessed if you don't keep up with payments.
Please make sure you click on information buttons in the calculator to understand what amounts you need to include.
Why partner with Legal & General
We are here to help you
Since 2015, We have lent £6.46 billion to over 115,000 customers.
For lifetime mortgages
We're a proud member of the Equity Release Council.
Award winning
Moneyfacts awarded for us Highly Commended for Best Equity Release Provider in 2023.
Talk to us
We'll check if you meet the eligibility requirements and then put you through to Legal & General to discuss further if a later life mortgage is the right option for you.
0800 032 6984
Monday to Friday 9:00am - 5:00pm
We may record and monitor calls.