Compare Hodge Equity Release Quotes Against The Market

As a pioneer in the later-life lending market, Hodge Bank (formerly known as Hodge Lifetime) has been a specialist in retirement finance for over 50 years. Unlike many high-street banks that only recently entered this space, Hodge has built its entire reputation on understanding the unique financial needs of older homeowners, offering some of the most flexible "common sense" lending criteria in the UK.

If you would like independent advice about whether Hodge is the right lender for you, get in touch below to speak to an equity release adviser who specialises in their products.

Who is Hodge Bank?

Hodge Bank is an independently owned specialist lender based in Cardiff. Founded by Sir Julian Hodge in 1987, the bank is unique because it is majority-owned by a charity (the Hodge Foundation), meaning a significant portion of its profits supports medical research and education. In the equity release sector, they were the first to launch several innovative products, including the first-ever drawdown lifetime mortgage in the UK.

What is Hodge Bank Equity Release?

Hodge Bank offers a broad suite of later-life products. Rather than just offering one type of plan, they provide options that range from traditional "no-payment" mortgages to plans designed for those who want to service the interest.

Their core later-life range includes:

• Lifetime Mortgages: Traditional equity release (available from age 55) where you can take a lump sum or a drawdown facility. Interest rolls up, and no monthly payments are required, though voluntary payments are allowed.

• Retirement Interest-Only (RIO) Mortgages: For those aged 50+ who want to pay the interest monthly. This keeps the loan balance level and is repaid only when you die or move into long-term care.

• Resi Retire Mortgage: A flexible mortgage for the over-50s that can be taken on a repayment or interest-only basis for a fixed term (up to 41 years).

Key Features of Hodge Bank Equity Release

Hodge is known for market-leading flexibility, with features designed to adapt to your changing life:

• Hodge Early Repayment Promise: This is a standout feature. If you sell your home and move out, paying off the loan in full, Hodge will waive the early repayment charges (ERCs) from day one.

• Flexible Voluntary Repayments: On most plans, you can pay back up to 10% of the initial loan amount each year without any penalty, helping to manage the interest roll-up.

• Downsizing Protection: If you move to a smaller property that doesn't meet their lending criteria after five years, you can repay the loan in full without an ERC.

• Bespoke Underwriting: Hodge is famous for looking at "non-standard" income. They will consider income from holiday lets, complex investment portfolios, and even income for those still working up to age 80.

• No Negative Equity Guarantee: As a member of the Equity Release Council, Hodge ensures your estate will never owe more than your property is worth.

Hodge Bank Equity Release Interest Rates

Hodge Bank offers competitive, fixed interest rates across its range. Because they specialise in complex income, their RIO and Resi Retire rates are often highly attractive to those who can afford monthly payments. The exact rate you qualify for will depend on the product type and your loan-to-value (LTV) ratio, among other factors.

Eligibility Criteria

To qualify for a Hodge Bank plan, you generally need to meet the following:

• Age: 50+ for RIO and Resi Retire; 55+ for Lifetime Mortgages.

• Property Value: Minimum property value is typically £100,000.

• Property Type: Hodge is more flexible than most; they will consider flats above shops, non-standard constructions, and properties with large acreage.

• Income: For RIO and Resi Retire plans, you must prove you can afford the monthly payments. For traditional Lifetime Mortgages, no income proof is required.

• Location: Plans are available for properties in England, Scotland, and Wales.

Hodge Bank Equity Release Reviews

Hodge Bank consistently receives excellent feedback for its "human" approach to lending. On Trustpilot, they maintain a high rating, with customers frequently praising the ease of their application process and the professionalism of their UK-based support team. They are often the first choice for financial advisers dealing with "outside the box" cases that high-street lenders have rejected.

Pros and Cons of Hodge Bank Equity Release

Pros:

• Exceptional Flexibility: The "Early Repayment Promise" is one of the best in the industry for those who might sell their home later.

• Complex Income Friendly: Excellent for retirees with diverse income streams (rental, dividends, etc.).

• Charitable Ethics: A portion of the bank's profits goes to charitable causes.

• Wide Product Choice: Offers everything from standard equity release to RIO mortgages under one roof.

Cons:

• No Enhanced Plans: They do not currently offer "medically enhanced" plans (which allow those with health issues to borrow more).

• Minimum Property Value: Their £100,000 minimum is slightly higher than some competitors who start at £70,000.

• Complexity: Because they have so many different products, it can be confusing to know which one is right without expert advice.

How to Apply

Hodge Bank products are available exclusively through qualified financial advisers. This ensures that you receive a full recommendation based on your specific needs. Your adviser will look at your income and property to determine whether a RIO or a Lifetime Mortgage is your best route and will manage the application with Hodge on your behalf.

Get started here to book a free, no-obligation chat with an equity release adviser who specialises in Hodge’s products and can help you decide if they’re right for you.