Lifetime mortgages

Many long standing home owners now have considerable equity in their properties. 

This is providing the opportunity for older borrowers to consider using part of this equity to ease their financial positions as they approach the end of their working lives. 

In addition, parents may wish to use this equity advance money to their children as a means of getting them onto the property ladder, or to counter the costs of high school fees for younger family members. 

Lifetime mortgage interest rates, and rising property prices, are tempting older homeowners who have equity in their property to release funds through purpose-designed Equity Release Mortgages. 

Lump sump overpayments and portability 

Many lifetime mortgage providers are issuing more flexible products. They enable older borrowers to make overpayments each year to reduce the amount of interest rolled up annually. They are also providing portable mortgages so borrowers can move to approved properties while getting downsize protection protecting them against negative equity.  

The Equity Release Council is not a regulator, although it is an industry body whose members have agreed to abide by a set of product standards. It guides specialist lenders offering lifetime mortgages. 

Trinity Financial has helped clients to release money to repay debts, gift money to family members and even provide funds for emergencies. In particular, there is a growing uptake by borrowers aged between 65 and 74. 

We can approach lenders that give you:  

• A fixed rate for the life of the loan 
• The option to pay some or all of the loan interest each month 
• Ring-fence part of the property value to use as inheritance 

Speak to Trinity Finanical's lifetime mortgage specialist - Jed Newton 

Few brokers are qualified to arrange lifetime mortgages as they are now part of a highly regulated area of the mortgage market. 

We can also arrange lifetime mortgages where interest is not rolled up or taken from the equity on death. These are more like a traditional interest-only mortgage suitable for older borrowers. 

Call Trinity on 020 7016 0790 to secure an equity release mortgage. 

A Lifetime Mortgage will reduce the value of your estate and may affect your entlement to means-tested benefits and tax status.

The impact of not servicing monthly interest payments on a Lifetime Mortgage is that the outstanding debt can grow rapidly, thus reducing the value of your estate.

For example, if the interest rate was 7% a year, a £50,000 loan would double to £100,000 a year 10 years assuming no repayments are made.

This is an example for illustrative purposes only and personalised advice and recommendations should be sought from a qualified professional. You are strongly advised to register a lasting
power of attorney. This will allow your affairs to be managed by somebody else if your mental abilities significantly decline ADVICE. 

There will be a fee for mortgage our service. The precise amount will depend upon your circumstances but we estimate that it will be £495 at application and £995 on completion of the mortgage.