Home Reversion Plans

Home reversion plans are an equity release method that doesn’t involve a loan, and therefore poses no interest. These plans consist of selling all or part of your home to a company and receiving the proceeds in a tax-free lump sum and then staying in your home rent-free until you either pass away or move to a long term care facility. If you so desire you may choose to receive the proceeds in installments instead, but either way the selling price for HRP is usually way below market value; an assessment is made of the seller’s age and lifestyle, and the closer they (apparently) are to death the closer the proceeds are to the house’s market value.


  • Full control over proceeds and method of disbursement
  • Ability to protect some of the home’s value to pass on to beneficiaries
  • Rent-free residence for the rest of your life (or until special care is needed)


  • Selling your house for less than it’s true value
  • Poor value in case of unexpected death
  • Sole ownership of the home is given up

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