Lifetime Mortgages: Products & Features to Suit You
We’ll help find the right plan for you
Types of Plans
There are two main types of plans for a Lifetime Mortgage; lump sum and drawdown.
Lump Sum Lifetime Mortgage
With a lump sum lifetime mortgage, the loan is secured against your house. As the name suggests, you receive a one-time, tax-free, cash payment. This could be a good option if you are looking to help a loved one get on the property ladder, pay off debts or make improvements to your home.
Compound interest will be added to the mortgage until the plan comes to an end, when you pass away or move into long-term care. Most plans these days also give you the option of making optional repayments if you want to retain more of the equity in your home.
With some providers you can release up to 55.5% of the value of your property. However, this will depend on your health, age and lifestyle.
Drawdown Lifetime Mortgage
With a drawdown lifetime mortgage, you release equity from your home in the same way, but it’s paid in stages as and when you choose. Usually, your provider will agree an amount you are able to release from your home and then after an initial cash payment, the rest of your money is added to a reserve, ready for you to ‘drawdown’ as and when you want. So if you think you might need access to additional funds in the future, a drawdown lifetime mortgage is a more flexible option.
In this type of plan, the interest on the mortgage is only added on the amount that is released, so it adds up more slowly.
Modern Features Now Available With Many Lifetime Mortgage Providers
The lifetime market has grown rapidly, and there are now more products than ever for you to choose from. Some now come with greater flexibility, including:
- Voluntary repayments – this type of plan allows you to repay 10 – 15% of the amount of the original loan every year, with no fee
- Fixed early repayment charges – if you want to pay off your loan early, the lender will let you know upfront what the charge will be to do so
- Inheritance protection – so you can secure a percentage of your home’s value as an inheritance for your loved ones when you die
Want to Find Out More?
Download our free guide to understand more about lifetime mortgages and equity release.
Wondering if Equity Release Might Be Right for You?
We know that releasing equity from your home is a big decision so our qualified advisers are here to answer any questions you may have and discuss if it might be right for you.
Fill out our contact form by clicking the button below, or give us a call on 0800 860 0024.
Why Our Customers Recommend Fluent Money®
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The Team were fantastic and very thorough
From start to finish. The information given was accurate, The Team from fluent were fantastic and very thorough. They were always there for us. All queries sorted timely and efficiently. They are a company We would recommend to anyone looking for Equity Release. A Special Thanks to. Joe Bradshaw and Colin Fort. Who Made Our Journey Special. Thank You.
Excellent Service
Have used Fluent Money twice now due to the excellent service provided from the start of my enquiry to the completion. Both contacts kept me fully informed regularly at every stage of the process both by phone and email. I would recommend Fluent Money to anyone looking for Equity release. Thank you for getting me to a very satifactory conclusion!
Helped us through the entire process
Mallard Mortgages referred us to Fluent Money so that we could release equity on our house. We were assigned Colin Fort to process our application. He got the most competitive quote with Standard Life, and helped us through the entire process, explaining clearly what was going to happen on the way. He also referred us to our solicitor at Forever Legal who also did us proud.
Fabulous service
Fabulous service, would recommend to anyone taking equity on their property. Colin and Paul were absolutely fabulous. I thought this was going to be a long drawn out process but it was stress free. Wow
Excellent, Professional Company
Excellent service at every stage of my equity release, especially from Kelly Owens, advisor, and Colin Fort, co-ordinator. Never used Fluent Life before, would thoroughly recommend them, very professional.
