Official website of Notaires de France

Equity release loans


Equity release loan is a new type of loan.

  • What is the equity release loan ?

    • The equity release loan enables people to borrow money from their bank and possibly leave their heirs to reimburse the sum. The heirs may not owe the bank a sum greater than the value of the mortgaged property.

    • The funds lent by the bank may be withdrawn by the borrower either at once or in regular payments, every month or quarter for example.

    • The capital and interest are only payable at the end of the operation, which is often when the borrower dies.

  • The loan may end before the borrower dies under the following circumstances:

    • - The borrower's decision for an early repayment,

    • - sale of the property,

    • - exchange,

    • - contribution to a company,

    • - gift .


The equity release loan system may be very useful, for example, to a person with insufficient income but who owns a property.

Due to the consequences on your inheritance (which may be completely swallowed up if it consists solely of the mortgaged property), this contract must be carefully thought out, particularly if you have children.