Drawdown Lifetime Mortgages
Drawdown Lifetime Mortgage could offer a more flexible way to access your property’s value.
Access Your Money As You Need It, Not All At Once
If you’re looking to release money from your home but don’t need the full amount immediately, a Drawdown Lifetime Mortgage could offer a more flexible way to access your property’s value.
Rather than taking all your money upfront, a Drawdown Lifetime Mortgage allows you to withdraw funds when you need them. One of its biggest advantages is that interest is only charged on the money you’ve actually withdrawn, helping to keep borrowing costs lower than taking a large lump sum from the outset.
At Fluent Money, our specialist advisers can help you understand whether a Drawdown Lifetime Mortgage could be the right solution for your retirement plans.
Could A Drawdown Lifetime Mortgage Be Right For You?
Are aged 55 or over
Own your own home
Want to stay living in your property
Don’t need all your money immediately
Want greater flexibility over how you access your funds
Would like to minimise the amount of interest charged where possible
What Is A Drawdown Lifetime Mortgage?
A Drawdown Lifetime Mortgage is a type of Lifetime Mortgage that allows you to release money from your home gradually, rather than taking the full amount as a single payment.
Your lender agrees on an overall borrowing facility based on factors such as your age, property value and eligibility. You can then withdraw money from this facility as and when you need it.
Unlike a Lump Sum Lifetime Mortgage, interest is only charged on the money you’ve actually withdrawn, not the total amount available to you.
For many homeowners, this offers greater flexibility while helping to manage the overall cost of borrowing.
Important information
You should always think carefully before securing a loan against your property.
A lifetime mortgage will reduce the value of your estate and may affect your entitlement to means-tested benefits.
Clearing an existing mortgage with a lifetime mortgage may result in higher cost of borrowing.
Mortgage Advice Bureau charges a fee for later life mortgage advice.
The fee is up to £1,295
