If you’re a homeowner in Sunderland and thinking about how to access the money tied up in your property, equity release might have caught your attention.
One of the first questions many people ask is whether it’s possible to release equity without switching to a new mortgage deal.
The short answer is yes, it depends on your current mortgage and what you’re hoping to achieve.
Exploring Your Options
You don’t always have to remortgage in Sunderland to release equity.
There are a few different ways to unlock money from your home, and the best choice for you will come down to your age, your mortgage terms, and how much equity you’ve built up.
Further Advance From Your Current Lender
A common alternative to remortgaging is applying for a further advance. This is when your current lender agrees to lend you more money, using your home as security.
It usually means you don’t have to change your main mortgage, although the additional borrowing might be set up on a different rate.
Many people choose this route if they’re happy with their current deal and don’t want to lose a favourable interest rate.
Second Charge Mortgages
Another option is a second-charge mortgage. This is a separate loan secured against your home, alongside your existing mortgage.
It can be useful if you’re locked into a low-rate mortgage or face high fees for remortgaging.
The second charge lets you release equity without disturbing your original agreement, although you’ll need to meet the repayments for both loans.
Equity Release for Over 55s
If you’re aged 55 or over and looking for a way to release equity without traditional repayments, equity release in Sunderland could be worth considering.
The most common type is a lifetime mortgage, which allows you to borrow money secured against your home while retaining ownership.
With a lifetime mortgage, there are no required monthly payments. Instead, the loan is repaid when the home is sold, typically when you pass away or move into long-term care.
Many people use this type of borrowing to boost retirement income, fund home improvements, or help family members with things like deposits for their first home.
Should You Remortgage or Not?
In some situations, remortgaging in Sunderland might still be the better option. If your current mortgage deal is coming to an end or your home’s value has gone up significantly, switching could give you access to more competitive rates or a larger loan.
But if your circumstances mean you’d rather not change your main mortgage, then options like further advances, second charges, or equity release could be more suitable.
Date Last Edited: 03/06/2025
