Later Life Lending
Lifetime Mortgages
A lifetime mortgage is a way of borrowing a set amount of money against the value of your home, in the form of a long-term loan, and without the need to move. You continue to own your own home, for the duration of the plan and as long as you are living in it - you'll also be responsible for keeping your home in good repair. The loan is paid back using the proceeds from the eventual sale of your property. This is usually when you die or have moved into permanent long-term care.
Taking out a lifetime mortgage may also reduce the options that you have for moving or selling your home. Also, as the interest is added to the loan, there may be no value left in your home at the end of the plan. You should talk to your Financial Adviser and/or solicitor about this if you're at all unsure.
Equity release schemes may work out more expensive in the long term than downsizing to a smaller property.
Equity Release may involve a lifetime mortgage or a home revision plan. To understand the features and risks, ask for a personalised illustration.
Equity Release may impact the size of your estate and it could affect your entitlement to current and future means tested benefits.
Retirement Interest-Only Mortgages
This is a loan secured against your home, with which you only pay the interest on a monthly basis. The full amount of the loan is only paid off when you pass away or move out of the home into long term care. Your home may be repossessed if you do not keep up with repayments.
This type of residential mortgage is only available to people aged over 55. These are complex lending products, and so if you'd like to learn more, speak to one of our advisors.
If you'd like to find out more, click here to request a callback from one of our advisors.
