Have you always dreamed of a special retirement, travelling the world and enjoying new experiences? Or maybe you want to pay for your daughter’s wedding, or buy your grandson his first car. Unfortunately all of your money is tied up in your home.
You are worth thousands of pounds, but are in the frustrating situation where you cannot access that money. The Lifetime mortgage could be the perfect solution, and it has been designed to resolve exactly those type of situations.
What Exactly Is A Lifetime Mortgage?
A lifetime mortgage is a relatively new financial product that allows property owners to release some of the equity that is currently tied up in their home. Perhaps the easiest way to describe it is as a long-term, open-ended loan. There is no fixed closing date for the loan, which is secured on your current property.
The only time the loan becomes repayable is upon you and your partner’s death or move into a long-term residential care home. In most cases, the mortgage is set up with a fixed-rate interest rate, which doesn’t change for the lifetime of the loan. There are some benefits and advantages to the homeowner.