My latest release, £52,000* with a lifetime mortgage
From worldwide tours to home improvements or just enjoying day to day life more, you could be getting more out of your retirement years with a Legal & General Lifetime Mortgage.

What is a lifetime mortgage?

It’s a loan that’s secured against your home. It lets you release some of the money tied up in your home, without having to move, as tax-free cash. Designed exclusively for homeowners over the age of 55, with a property valued at over £100,000 (£150,000 for ex-council).

A lifetime mortgage creates a debt secured against your home and is repaid in full, along with the interest, from the sale of the property when the last survivor dies or moves into long-term care.

*The majority of our new Lifetime Mortgage customers in 2017 each released, in total, £52,000 or more.

What could a lifetime mortgage be used for? video

Transcript: What could a lifetime mortgage be used for?

What could a lifetime mortgage be used for?

Your home’s amazing.

It’s provided for you and your family, and it’s full of memories

So how can it help you now?

Well, with a lifetime mortgage – a loan secured against your home – you could release some of the money tied up in your home to use now.

Some people use the money they release for... :

Onscreen text: If you pay off your existing mortgage you may have to pay an early repayment charge to your existing lender.

...paying off their existing mortgage, so that they don’t have to make monthly repayments, although it’s important to think carefully about securing a debt against your home

...making daily life more comfortable by helping meet the monthly bills.

...giving family members some of their inheritance now rather than later – for example, with the deposit for their first home – so that they can see for themselves the difference it makes.

...the fun things – like holidays and outings.

...home or garden improvements, perhaps making them more manageable as they get older.

How does a lifetime mortgage work? It creates a debt secured against your home. Interest is charged on the total loan amount plus any interest already charged.

This means that the amount you owe grows quickly...

...reducing the equity left in the property and the value of any inheritance. You should consider other options to borrow money which may be more cost effective.

Find out how much you could release - visit our website for more information.

Onscreen text: A lifetime mortgage is a debt secured against your home. Interest is charged on the total loan amount plus any interest already charged. That means the amount you owe grows quickly, reducing the equity left in the property. A lifetime mortgage will reduce any inheritance.

Think carefully about securing other debts against your home. You may have more cost effective options.

Discovering a lifetime mortgage

A lifetime mortgage meant Robin and Yvonne could stay in an area they loved, close to their friends and family. This is their story.

Robin and Yvonne video

Transcript: Robin and Yvonne

Robin: I’m Robin
Yvonne: I’m Yvonne
Robin: I know you are

Robin: We’ve been married for 49 years

Robin: And next year will be the 50th

Yvonne: We’ve lived in this house for thirty years and in this village for forty-seven years

Yvonne: We had toyed with selling the house, we finally decided that to downsize from this house into something smaller...

Yvonne: would be so hard, there’s so much to do.

Yvonne: We decided to take our dogs and ourselves to a rather nice restaurant which we love, large sheet of paper, for and against moving...

Yvonne: The for moving had about four lines on it...

Yvonne: The against was massive and the decision was we want to stay where we are...

Yvonne: and seriously look at taking a lifetime mortgage.

Yvonne: We were afraid to start with, weren’t we because we didn’t really understand.

Yvonne: We have a financial adviser who came and visited us, explained...

Yvonne: what the lifetime mortgage is...

Yvonne: recommended a company to talk to us...

Yvonne: who deals specifically in lifetime mortgages,

Yvonne: and we went with it.

Robin - Its so simple from start to finish

Yvonne: We only had one concern and that was the fact we have one child

Yvonne: I suppose like lots of families...

Yvonne: you want to leave a legacy for your children, we talked to him, he said mum dad go for it, and we have.

Robin: We found the application process very very efficient and straight forward

Robin: We went up there it and it was all over and done with and in about forty-eight hours time.

Robin: Had an ok, it was that straight forward.

Robin: The cash that we’ve got now, instead of thinking about it we can just do it.

Yvonne: We’ve had a brand new kitchen, my kitchen was thirty years old I now have a brand new one...

Yvonne: my husband has got a glorious car...

Yvonne: New drive way

Robin: Yep new drive way that’s been done and nice holidays

Robin: So let us enjoy ourselves instead of just getting by from day to day if you like

Robin: That is, I think is a great plus when it comes to a lifetime mortgage

Robin: Instead of planning for something we can actually do it.

A lifetime mortgage will reduce an inheritance.

You should consider other options to borrow money which may be more cost effective.

It's a big decision, and there are many factors to consider. That's why you can only get a lifetime mortgage through a specialist adviser.

A lifetime mortgage creates a debt on your home.

It's important to know that we charge interest on the total loan plus any interest already charged.

That means the amount you owe grows quickly, and reduces the equity left in the property and the value of any inheritance.

It could also affect any entitlement to State Benefits.

Your questions answered

Do I have to make monthly payments?

No, you won’t have to make monthly payments.

Instead the interest is added to the amount you owe each month. This means we charge interest on the loan plus any interest already added. The amount you owe will go up quickly over time, reducing the equity left in your home. It could also affect any entitlement to State Benefits.

The lifetime mortgage is usually repaid from the sale of your home when the last borrower, living in the property, dies or goes into long-term care. If you decide to repay the loan before this, you may need to pay an early repayment charge.

Can I move home?

Yes, as long as the new property meets our lending criteria and there’s enough equity in the property after it’s sold. You must tell us in advance if you wish to move and we’ll need to give our consent.

A valuation of your new property will need to take place by a valuer of our choice. You’ll have to pay the valuation fee, property transfer fee, as well as all legal fees and moving expenses. We may ask you to repay part of your lifetime mortgage, for example if you’re moving to a lower value property, and the loan amount is now more than we’d agree to lend to a new customer in comparable circumstances. There would be no early repayment charges on that amount. 

Are there any risks to a lifetime mortgage?

Yes, there are. It's very important to understand the risks, as well as the potential benefits, of taking out a lifetime mortgage.

  • We charge interest on the total loan amount plus any interest already charged. That means the amount you owe grows quickly and reduces the amount of equity that’s left in the property. There may be cheaper ways to borrow money.
  • A lifetime mortgage will reduce an inheritance and may affect entitlements to State Benefits.
  • A lifetime mortgage creates a debt on your home.
  • If property values fall, then that may affect the equity available to you or your estate.
  • Repaying a loan early could mean substantial early repayment charges.

A qualified lifetime mortgage adviser can explain the features and risks in detail and make a personal recommendation to you.