A lifetime mortgage is a loan that’s secured against the customer’s home which must be used to pay off their residential mortgage balance in full, including any Early Repayment Charges.
It must be the first and only charge on the property, therefore please consider any second charges.
There are no affordability checks, we underwrite the property, not the person.
If there’s any remaining money it could be used for home improvements, holidays or to improve their quality of life.
There is no end date to the loan. The balance and is repaid when the last surviving borrower dies or goes into long term care.
Lifetime mortgages can only be bought through a qualified financial adviser.
They can be a really good option for Interest Only shortfall customers who want to stay in their homes and ether keep paying interest, or want the burden of a regular monthly payment to go away.