Taking equity release is not necessarily always the best choice and the alternatives should be fully considered before any decision is made. These include trading down to a cheaper property, selling your home and then renting and, most importantly, checking your entitlement to State Benefits; in particular Pension Credits. In the latter case the increase to the limits applied to savings amounts, from November 2009, has measurably improved the entitlement to Pension Credits, which in turn can affect the eligibility for and amount of Council Tax rebates.
You can check this quite yourself quite simply by using the calculator at and entering your details. The results are not guaranteed but, down to the last penny, I have yet to find them wrong and recently we succesfully challenged a DWP statement that a married couple were not entitled to Pension Credits. As a result, their income was increased by almost £175 per month.
This actually provided sufficient income to meet their needs and I recommended that they did not take equity release. However, as is their right, they decided to do so anyway as they felt that some capital would measurably improve their situation and lifestyle.
The important thing was that the check was made, and you should make quite certain that your adviser has carried one out. The answer in your case may not be as beneficial as the one above - but you never know.
