Re: Equity
Mollie, there are a couple of schemes and you need careful advice before considering any.
1. You can sell all or part of your house to a 'Reversion' company.
When you die, or move to a care home, you get a percentage of your remaining share - maybe 40% or 50%.
eg house is worth £100k. You sell 50% and get £50k. Years later, you pass on and the house is sold. Your estate gets say, 40% of £50k = £20k.
2. You get a 'life time mortgage' on a part of the value your property. You don't pay any interest - this is taken from the sale price.
eg house is worth £100k. You get a 'mortgage' for £50k. When you pass on, the house is sold for £100k. You owe £50k + £30k interest = £80k so your estate gets £20k.
As I understand, yes, you get to live rent-free till you die, though as in case 1, if you sold all of your house, you would technically be a tennant.
BUT ... you must take proper independant advice on this and I'm not sure about any tax implications.