Lifetime
Mortgages
For
many people over the age of 55 years old, the majority (or all) of
their mortgage has been paid off. Their home may have increased in
value many times over, and is often their greatest asset! With Lifetime
Mortgages, it is possible to un-lock or release some of the money
/ equity tied up in your home, and make that money work for you in
your retirement. The money released can be in a lump sum, and
/ or as a monthly income for life.
To
be eligible for most Lifetime Mortgage schemes you should be aged
55-70, have a property that is worth at least £30-40,000, and
ideally be a freeholder.
Some
of the questions to ask before proceeding to invest in any Lifetime
Mortgage scheme are:
· Does
the scheme allow you to move house if you need to (portability)?
· What
is your life expectancy? And what age are you entering the scheme?
· What
are your family expecting to inherit on your death?
Reducing
the value of your estate may be beneficial from an inheritance tax
point of view. But you must consider those to whom you wish to leave
an inheritance, and how much you wish to leave them
· Are
you living with a younger partner, relative or friend?
Depending
on the terms of the scheme, they will need to find alternative housing
in the event of your death.
· What
is your eligibility for means-tested benefits?
As
you can see from the selection of relevant issues / questions above,
we believe it is of great importance to receive independent advice
on whether a Lifetime Mortgage is suitable to you, and on the schemes
available from the various lenders, and which will best meet your
needs.
We
believe the Best Advice is 'Independent' Advice!
This
is a Lifetime Mortgage. To understand the features and risks, ask for
a personalised illustration.
"A
fee may be payable for mortgage advice, depending on your circumstances,
of up to 1% of the loan amount."
