Overview

There’s set eligibility criteria, which your client and their property will need to meet, for one of our Lifetime Mortgages.

Property, meaning anything to do with the property your client is looking to borrow money against.

Applicant, meaning anything to do with their personal circumstances such as their financial background.

There are additional applicant and property criteria that your client will need to meet in order for them to successfully apply for our Lifetime Mortgage products.

We have three types of Lifetime Mortgage: FlexibleOptional Payment and Income which all require the same eligibility criteria.

To apply for one of our Lifetime Mortgages your client needs to meet our minimum eligibility criteria. Your client must be able to answer yes to the following questions:

  • Are they aged 55 or over?
  • Are they living in (or buying) their home and have either a small or no mortgage?
  • Do they want to borrow a minimum of:
    • Flexible and Optional Payment: £10,000.
    • Income: An initial lump sum of £2,500 and a minimum of £200 a month for up to 10 years.
  • Is their property made of traditional masonry construction, in a good state of repair, free of any tenancy restrictions, and is it in England, Wales or mainland Scotland?
  • Is their home valued at £100,000 or over (£150,000 for ex-council, ex-housing association or ex-Ministry of Defence properties)?

During the application process please ensure that all the information provided on the application form also matches the Key Facts Illustration, any information which does not match up will result in a decline. 

You can also use our View - Pre application query form for non-standard properties. Once the form is completed, it's passed to our underwriting team to review.

Property criteria

Below is a list of some of the main reasons why the client’s application might have been declined based on their property:

  • The lease is too short yet the purpose of loan is to pay for a lease extension and this wasn't selected.
  • Acreage of the property exceeds 10 acres. Anything between 10-15 acres will be considered as a refer basis and above 15 acres will be declined.
  • Their property is a studio or bedsit.
  • Their flat is part freehold.
  • Their property has leased solar panels.
  • Their property has agricultural ties.

If your client has an age restricted property please refer to new business enquires team.

For more details please see the PDF file: Lifetime Mortgage Suitability Criteria PDF size: 86KB  

Applicant criteria 

Below is a list of some of the main reasons why your client's application might have been declined based on our applicant criteria:

  • Submitted a sole application but a partner was listed as an additional occupant (resident for over 17 years).
  • Undischarged bankruptcy.
  • Applicant doesn't have indefinite rights to reside in the property.
  • The applicant has Charging Orders registered against them.
  • Property is held in Trust.

For more details please see the PDF file: Lifetime Mortgage Suitability Criteria PDF size: 86KB