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Equity Release Calculator | Canada

Equity Release Calculator is designed to help you estimate borrowing costs, compare repayment scenarios, and sense-check property finance decisions. It works best when you want a fast, comparable estimate before you speak to a lender, provider, adviser, employer, or supplier. Use it as a planning tool rather than a final quote. This version is framed for Canada users where regional assumptions matter, so you can test a few scenarios and see how changes in the main inputs affect the outcome.

Interpretation

What your result means

Use the notes below to understand the main figures in your result and when this calculator is most useful.

When to use this calculator

  • Before comparing lenders, brokers, or repayment options.
  • When you want to test how a different deposit, rate, or term changes affordability.
  • When you need a quick estimate before using a formal quote or agreement in principle.

Max Tax-Free Release

Review this figure alongside your gross income so you can understand the true cost of deductions.

Owed at Age 85

Use this metric to compare scenarios side by side and understand how the key drivers affect the final outcome.

Interest Rolled Up

Use this metric to compare scenarios side by side and understand how the key drivers affect the final outcome.

Method and assumptions

Enter your property value, age, and maximum loan-to-value to estimate how much equity you could release and how much would be owed by age 85 with compound interest rolled up. Equity release rates are typically 5–6% and compound annually since no monthly repayments are made. The rolled-up interest can significantly erode the inheritance left to beneficiaries — always take independent financial advice before proceeding.

Next steps

What to do next

Continue with the most relevant next step based on your result.

Example

A realistic Canada planning example

A realistic example to help you understand how the numbers fit together.

Property Value ({symbol})

CA$500,000

Your Age

35

Max LTV (%)

CA$400,000

After entering these figures, compare max tax-free release, owed at age 85 and interest rolled up before deciding which scenario looks strongest.

Avoid mistakes

Common mistakes

A few things that often lead to misleading or incomplete results.

Mixing up loan amount and property value, which can distort affordability and LTV.
Using a headline rate but forgetting fees, insurance, taxes, or repayment type.
Testing only one term length instead of comparing the payment and total cost together.
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FAQ

Frequently asked questions

Helpful answers to common questions about this calculator.

How much equity can I release?

Maximum LTV for equity release typically ranges from 20–50% depending on your age. Older applicants can usually release a higher percentage.

What are the risks of equity release?

Compound interest rolls up over time and can significantly reduce the estate. Always use a FCA-regulated adviser and ensure a no-negative-equity guarantee is included in the product.

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