Not available in the high street – August 201907-Aug-2019
By Philip H Yates, Consultant: Mortgages & Equity Release
“Why would someone in their seventies, with 100% equity in a £1million property need a £400,000 mortgage?”
Later Life Lending
Our truly independent mortgage advice has proved invaluable to our clients over many years, especially those who are interested in Later Life Lending.
Later Life Lending is borrowing for anyone over the age of 55. Interestingly, the range of finance options available actually increases at this age.
Recently I have advised two clients on Later Life Lending, both of whom are in their seventies and require substantial mortgages, which poses the question:
Why would someone in their seventies, with 100% equity in a £1million property need a £400,000 mortgage?
In both cases, my clients wish to borrow funds to enable them to purchase a new home before they sell their own! But, why do they want to do this?
The answer is that both have seen houses that really suit their requirements; smaller accommodation and more manageable gardens. They want to act quickly and make progress, fearing that waiting for a sale on their own home will put the purchase of the house they really want at risk.
A Later Life Lending product will enable them to make an offer on the new property and complete the purchase.
Once they have completed the purchase and moved into their new home, it is their intention to put their existing property on the market, repaying the new mortgage when it is sold. This will make their home move as stress free as possible. It will also enable them to take their time vacating their current home and give them the time to consider how best to part with items which will not suit their new downsized lifestyle and to purchase those items which will complement their new home.
My experience is that the average high street lender would not be able to help these clients. They need the expertise of a truly independent mortgage adviser to achieve their goals.
The cases above are exceptional, in fact, the vast majority of our Later Life Lending clients are borrowing funds in the tens of thousands rather than the hundreds of thousands, so, if you are considering the pros and cons of moving home or releasing capital, we can offer expert advice, whether you are employed, self-employed or retired. We will research the best mortgage schemes, utilising our lender connections both locally and nationally, to find you the best financial solutions to suit your personal requirements.
If you would like to benefit from a free no obligation initial meeting, or if there is anything else you would like to discuss then please get in touch with our Independent Financial Services team on 01244 356 789 or email firstname.lastname@example.org
Please note: This is not financial advice; it is intended to provide information of general interest about current financial issues.