What is a Lifetime Mortgage?

February 13, 2023
,

A Lifetime Mortgage is a non-income assessed mortgage, which is only repayable when you either pass away or enter long term residential care, and can be used for the following:

  • Home improvements
  • Gift to family
  • Improve lifestyle
  • ‘Top up’ income / pension

But it can also be used to buy a new home!

 

Picture this…

Your client would like to move to their forever home, but it is out of their budget and they have an existing mortgage which they would like to pay off.

Using a Lifetime Mortgage allows them to clear their outstanding mortgage, while also obtaining additional funds with which to purchase their new property.

The property sale, mortgage repayment and new property purchase are all finalised at the same time!

What’s more, this is without having to make any monthly payments, if they do not wish to.

They may, however, wish to consider paying all or some of the interest off, either with regular monthly payments or ad-hoc voluntary payments.

Once they have found the property they wish to buy, they sell their old property, clear the mortgage and move into their new home.

It will be their new home that will then have the Lifetime Mortgage on it.

The process is very similar to a conventional property purchase and the result is that they have the new property they desire without the need to make monthly mortgage payments, if they do not wish to.

Of course, Equity Release is not right for everyone and I always carry out a thorough financial review to look at all available options.

What I can offer:

I’m looking to work with Estate Agents who may have clients over the age of 55 that could benefit from a Lifetime Mortgage.

As I specialise in Lifetime Mortgages only, I am offering a 50% procuration fee split for any cases that complete. This referral commission amount equates to approximately 1.5% of the total loan amount.

Please get in touch if you have any questions or would just like a friendly chat about how Equity Release / Lifetime Mortgages work and could potentially help your clients.

www.millerlife.co.uk

lee@millerlife.co.uk

EAN Content

Content shared by this account is either news shared free by third parties or sponsored (paid for) content from third parties. Please be advised that links to third party websites are not endorsed by Estate Agent Networking - Please do your own research before committing to any third party business promoted on our website. As an Amazon Associate, I earn from qualifying purchases.

You May Also Enjoy

Rightmove logo
Breaking News

Back-to-school buyer bounce outpaces typical September uplift

New real-time analysis from the UK’s largest property platform Rightmove reveals that buyer demand received a stronger than usual back-to-school boost during the first week of September Buyer demand increased by 5% during the opening week of the month, significantly higher than the average increase of 0.4% seen over the same period during the last…
Read More →
Letting Agent Talk

8,500 tenanted homes currently on the market

8,500 tenanted homes currently up for sale as TLP highlights importance of clean client money handovers   More than an estimated 8,500 homes are currently being marketed for sale with tenants in situ across England, according to the latest analysis by The Letting Partnership, presenting landlords with the opportunity to acquire an investment generating rental…
Read More →
Estate Agent Talk

Which property types take the longest time to buy?

From complex flats and shared ownership homes to new builds and unusual titles, Lyons Bowe reveals which properties can create the biggest conveyancing workload   The latest insight from Lyons Bowe has revealed which types of property are most likely to require the largest and most complex conveyancing workload, potentially adding more stages to the journey…
Read More →
Commercial Agent Talk

Building Site Accidents and Compensation: A Guide for Injured Workers

One mistake, one faulty piece of equipment and an unsafe working setup could cause a construction laborer much more than just aches and pains. One injury can result in medical costs, showing up on working days, reduced income and a path to long recovery. Under certain circumstances, the workers may be entitled to get compensation…
Read More →
Estate Agent Talk

First-Time Buyers: Why 4–5 Houses is the Sweet Spot

House hunting before the stress kicks in: Four to five houses is the sweet spot for first-time buyers Just 20% of us feel excited on a first property viewing, rising to 47% by viewings 4 to 5 There’s a U shape trajectory of excitement when it comes to the viewing process However, there is a…
Read More →
Breaking News

Two in five mortgage holders switched banks for a better mortgage deal

Of those who have a mortgage and switched banks, 41% did so to get a better mortgage rate deal and 30% did it to receive an incentive related to their mortgage Only 15% of people moving home switched their bank account during the move, while far more switched broadband (46%), energy (38%), and mobile phones…
Read More →