Pension Credit › Homeowners
Can You Get Pension Credit If You Own Your Home?
Last updated: April 2026 · Reviewed by: Silverwings Benefits Team · Source: GOV.UK
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A lot of people assume that owning their home rules them out of Pension Credit. It does not. Unlike some other means-tested support, Pension Credit completely disregards the value of the home you live in — it is never counted as capital, however much it is worth or however much mortgage (if any) is left on it.
What does get looked at is your income, and any savings or investments you hold separately from your home. If you own your home outright with modest savings and a State Pension that leaves you on a lower weekly income, you can still be one of the people Pension Credit is designed for.
Why your home is treated differently
Pension Credit is assessed on income and capital, but the property you live in is specifically excluded from that capital assessment. This is different from some other forms of support, where the value of a home can be taken into account in certain circumstances (for example, some care funding assessments). For Pension Credit, your home is simply not part of the sum.
This matters because many homeowners assume — wrongly — that being "asset rich" on paper because of their house disqualifies them from help with day-to-day income. It does not.
What does count if you own your home
The things that are actually assessed include:
- your State Pension and any other pension income
- other income such as part-time earnings or a small annuity
- savings and investments held separately from your home (ISAs, premium bonds, bank accounts, shares)
- any second property or land you own that you do not live in
Homeowners and Savings Credit
If you reached State Pension age before 6 April 2016 (or your partner did), owning your home outright with a modest pension often makes you a good candidate for Savings Credit as well as Guarantee Credit — because Savings Credit rewards having a small amount of income or savings above the basic State Pension, which is common among homeowners who have paid off a mortgage.
A mortgage does not stop you claiming either
If you still have a mortgage, that does not disqualify you from Pension Credit, and getting Pension Credit can actually unlock help with mortgage interest through Support for Mortgage Interest (SMI) — a repayable loan that covers interest payments so you are not paying them out of a low income.
Homeownership is about where you live, not what counts as income.
Frequently asked questions
Does the value of my house count towards the Pension Credit savings limit?
No. Your main home is completely disregarded, regardless of its value or whether it is mortgage-free.
I own a static caravan or holiday home as well as my main house — does that count?
A second property that is not your main residence is generally counted as capital and could affect your claim. It is worth getting this checked individually.
Will claiming Pension Credit put a charge on my house?
No, Pension Credit itself does not. Support for Mortgage Interest, if you claim it, is a loan secured against the property, but Pension Credit is not.
Can I still claim if I have no mortgage and modest savings?
Yes — this is one of the most common homeowner profiles for Pension Credit: mortgage-free, State Pension as main income, and savings under or modestly over the disregard.
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