Equity release on a buy to let property: lenders' own criteria tie a lifetime mortgage to the home you live in. What they say, and what to ask.
If you own a rental flat or a let house, the question is whether a lifetime mortgage can be secured on it. The documents lenders publish describe the property as the borrower's own home, and the sections below quote them, lender by lender. How the criteria apply to your own property is what a qualified equity release adviser would work through with you; you can ask for a free call from one on the form on this page. "Equity release" here means a lifetime mortgage; the other type is a part-sale of the home, covered in home reversion against lifetime mortgage.
What lenders write about the property they lend on
Each lender sets its own criteria, so no single rule covers them all. The wording read on 20 October 2026 does point the same way, though. Aviva's eligibility page says the property "must be where you live day in, day out", and its adviser lending criteria (PF011331, March 2026) say it must be the main home of the borrower or borrowers. For plans and eligibility in full, see Aviva equity release.
Canada Life's customer guide (30-190, September 2026) lists the basic requirements, among them that the property is the borrower's main residence, and adds: "With some product providers, your property could also be a second home." Legal & General's Later Life Mortgages criteria (DA836, June 2026) include the row "Applicants must own and reside in the property as their main residence". Each lender's range has its own page, among them Legal & General's equity release and Pure Retirement's.
The Equity Release Council's standards point the same way. Its home-for-life standard makes the right to stay depend on the property remaining the borrower's main residence for the life of the mortgage, with the terms kept. Those standards bind Council members, not every lender; the Council's standards explains them.
Rented, holiday and second homes: what each document says
| Lender and adviser document | What it says about letting or a second property |
|---|---|
| Aviva, lifetime mortgage lending criteria PF011331 (03/2026) | "Entirely tenanted properties" sit in the not-acceptable list for ownership and occupancy |
| Just, Just for You lending criteria JM00341 (May 2026) | "Rented property" is in its not-acceptable column, and so, in the property type rows, are second or holiday homes and homes bought as a letting investment |
| Legal & General, Later Life Mortgages suitability criteria DA836 (06/26) | Its property types table marks a second home that is not the borrower's main residence with a cross |
| Pure Retirement, Classic lending criteria PR02716 (file dated August 2025) | "Holiday homes" are listed under not acceptable |
Aviva, Just and Pure mark their documents for advisers or intermediaries only, and Legal & General publishes DA836 in its adviser document library. Lenders change criteria, so an adviser can confirm each lender's current version. Canada Life's own website describes a second-home lifetime mortgage. Its Second Home Options page says it offers a lifetime mortgage on a second home, could suit someone who owns "more than one home", and, when read on 20 October 2026, said Canada Life had "temporarily stopped accepting new applications" for the product. The page does not say whether a second home can be let out to tenants, so that is one to ask if the product reopens. Canada Life's range is on its rates page.
MoneyHelper, the government-backed guidance service, lists among the limits of equity release that restrictions may apply, "such as not being able to use your home as a holiday let". A purchase of a further property with a lifetime mortgage is a separate question, answered in equity release to buy another property.
Renting a room or part of your own home
A lodger or an annex tenant is a different situation from a let property, because the borrower still lives there. Aviva's criteria consider a home where a third party shares the main home with the borrower, naming lodgers among the people covered. Legal & General's occupancy table ticks up to two lodgers but puts a cross against a property where a tenancy agreement exists or a lodger has independent facilities. Pure Retirement's lending criteria page says annexes can be considered across its lifetime mortgages, with conditions on who occupies them that differ by product.
Whether a lodger, an annex let or a short-term booking changes one lender's answer depends on that lender's current written terms. Such terms can be checked against your own home by a qualified equity release adviser; a short phone call follows an enquiry sent on the form on this page.
If the rental is not the home you would borrow against
Many readers asking this live in one property and let out another. Because the lender documents above describe the security as the borrower's main home, the property being valued and charged is generally the one you live in. How a lender treats other property you own, or rent coming in from it, is a matter for its own criteria, so ask. If you still have a mortgage on the home, see equity release with an existing mortgage; for flats, equity release on a flat.
For borrowing other than equity release, MoneyHelper is a free place to start, and alternatives to equity release sets out some options.
Whatever the property, a lifetime mortgage carries the same trade-offs, set out in the equity release guide:
- On a roll-up plan, interest compounds, so the debt grows; some plans let you pay the interest instead (interest-only lifetime mortgages).
- The estate left to family is smaller (equity release and inheritance).
- Means-tested benefits can be affected (equity release and benefits).
- An early repayment charge can apply if the plan is repaid early (repaying equity release early).
MoneyHelper puts speaking to a specialist adviser as the first step, and under the Council's standards every equity release customer also needs independent legal advice. A Scottish home is charged through a standard security rather than a mortgage charge.
Questions to put to a lender or adviser
- In the lender's current wording, is the property I want to borrow against my main residence, and must it stay so?
- Does the lender treat a lodger, an annex tenant or a short-term let differently from a fully let property?
- If the lender has a second-home product, is it open to new applications, and does it allow the home to be let?
- Which lenders can you advise on, and why those? Equity release advisers explains how to check, and comparing equity release providers sets out what to compare.
Questions people ask about equity release and rental property
Can I use equity release to buy a buy to let property?
That is a question about what the money is used for, covered in buying another property. Just's lending criteria guide says it will lend for most purposes where the applicant will live in the mortgaged property, and gives "Second home for applicants personal use" as an example.
How much can I borrow against a rental or second home?
The criteria quoted above are written for the home you live in, so any amount turns on that home rather than the let one. How lenders work out the amount is explained in how much equity release you can get.
Does having a lodger stop me getting equity release?
Not necessarily. Just refers one or two lodgers for individual consideration (on its J1 to J4 plans only) and lists more than two as not acceptable; Legal & General accepts up to two lodgers sharing the home's kitchen and bathroom.
Does Canada Life offer buy to let equity release?
Its Second Home Options is a lifetime mortgage for a second home. When its page was read on 20 October 2026, Canada Life said it had temporarily stopped taking new applications, and the page did not say whether that home could be let.
Next step
If you own a rental property and are weighing a lifetime mortgage on your own home, an adviser who is qualified in equity release can set out how lenders' criteria apply to your position. The form on this page takes your number for that conversation.
Sources: all read 20 October 2026 unless stated. Aviva: eligibility page (15 October 2026) and lending criteria (PF011331 03/2026). Canada Life: Equity Release Explained (30-190 0926RC), Customer Guide (30-012 0126RC) and Second Home Options. Legal & General, Later Life Mortgages Suitability Criteria (DA836 06/26). Just, Lending Criteria Guide (JM00341, May 2026). Pure Retirement: Classic Lending Criteria (PR02716) and lending criteria FAQs. Equity Release Council, Professional Standards & Guarantees. MoneyHelper, What is equity release? (snapshot 19 September 2026). Conveyancing and Feudal Reform (Scotland) Act 1970, section 9.