The Loughborough Building Society Equity Release 5.23% new for 2024

• Release equity from your house with Loughborough Building Society Equity Release
• Not necessary to make monthly payments
• Help your family to buy a house
• Stay living in your own home
• 5.23%

How much cash can I borrow?

You can borrow 60% of your property’s valuation. For example, if your house is valued at £230000 you can get £138000.

Customer Reviews

Ms T from Hammersmith

My husband recently died leaving me with a mortgage I could not afford to pay. The lifetime mortgage allowed me to pay off the mortgage and have enough money left over for a new bathroom, kitchen, and roof repair.

Ms G from Dover

I divorced my husband who was a violent alcoholic. I really feared losing my home as I sometimes look after my daughter’s children. Equity release enabled me to pay off my ex and stay secure in my home.

Mr Williamson from Chiswick

My son is a chef in a care home. He is not well paid, and his bank would not lend him the money to buy a flat. My equity release enabled him to put a substantial deposit down, so his mortgage was very small. My equity release interest rate was close to the interest rate offered by his bank.

Mrs V from Hastings

I had spent my life running up credit cards and loans then getting interest-only mortgages to pay off the debt. I got to retirement age and still owed the bank £160,000. The term was about to expire, and I could not afford the payments on my pension anyway. I got £180,000 equity release and now I am more comfortable with no monthly repayments and I spent £20,000 on a new bathroom and kitchen. I now know I can stay at home.

Mrs Shaw from Lancaster

I had an interest-only mortgage with Birmingham Midshires. The mortgage had reached the end of its term, and they wanted the £127000 back I still owed them. My lifetime mortgage saved me from losing my home, and the rate was close to what I paid before.

Mr Smith from Kendal

My financial advisor told me I should get equity release and gift money to my five children now as it would save a massive amount of inheritance tax.

Mrs M from Birmingham

With no broker and no lender fees, I got an interest-only retirement mortgage, which I pay monthly from my private pension. The money released went to my daughter for her wedding and a deposit for her next house. She wanted a family, and her flat was too small.

Mrs L from Nottingham

For my lifetime mortgage, I had to pay a valuation fee and a solicitor’s fee but no lender or broker fees. As I was divorcing my husband of 30 years, the money went to him for his share of the house. I am happy now as I am secure and do not need to move from home.

• Nationwide mortgages for over 60s Retirement Mortgages Advice
• Halifax
• Chorley and District Building Society house construction equity release

Loughborough Building Society Mortgages Over 55: Starting the Equity Release Journey

The modern financial landscape offers various mortgage solutions for individuals who are 55 or older. These instruments enable homeowners to unlock the equity in their homes, providing flexibility during retirement.

Loughborough Building Society Mortgages Over 60: Not Too Late for a Mortgage

There are still ample mortgage opportunities for those who have reached the 60-year mark. Whether it’s remortgaging an existing property or buying a new one, numerous tailored options cater to this age bracket.

Age and Its Impact on Borrowing

As age progresses, lenders might have specific concerns related to the loan’s tenure and the borrower’s repayment capability. But with the right product, these hurdles can be easily navigated.

Loughborough BS Mortgages Over 65: Embracing the Golden Years

Hitting 65 doesn’t mean the end of your mortgage prospects. It might be a great time to consider equity release products.

Equity and Retirement

Releasing equity at this age can fund a comfortable retirement, pay off debts, or even finance a dream holiday.

Loughborough BS Mortgages Over 70: Still in the Game

With increasing life expectancies and active lifestyles post-retirement, many financial institutions have created mortgage products for those aged 70 and above.

What Lenders Look At

While age might be a number, lenders do assess health, life expectancy, property value, and other sources of income before granting a mortgage.

Mortgages Over 75: The Ultra-Senior Bracket

Believe it or not, there’s a mortgage market for individuals over 75. These products are usually more specialized and might have certain restrictions.

Why Choose a Mortgage at This Age?

From funding long-term care to helping grandchildren with their finances, mortgages over 75 can offer a financial boost when needed.

Loughborough Building Society Retirement Remortgages: Refinancing for a New Chapter

Retirement need not be the end of your mortgage journey. Remortgaging can provide a fresh perspective and financial structure tailored to the retirement phase.

The Rise of Retirement Remortgages

With the financial sector’s evolution, retirement remortgages have become increasingly popular, offering bespoke solutions for retirees.

Loughborough BS Benefits and Pitfalls

While these remortgages can offer better interest rates and terms, it’s vital to be wary of hidden charges and long-term implications.

Loughborough BS Pensioner Remortgage: Tailored for the Silver Generation

Pensioner remortgages are specifically designed for those enjoying their pension years. They consider pensioners’ unique financial situations.

Why Consider a Pensioner Remortgage?

It’s all about flexibility. With a pensioner remortgage, you can reduce monthly outgoings or release a lump sum for immediate needs.

Navigating the Process

From approval application, understanding the intricacies can smooth the remortgage journey.

Lifetime Mortgage: A Popular Equity Release Option

Lifetime mortgages are one of the UK’s most popular equity release schemes.

How Does It Work?

You secure a loan against your property. Instead of monthly repayments, the interest rolls up, and the loan plus interest is repaid when you die or move into long-term care.

Fixed vs. Variable Interest Rates

Like conventional mortgages, you can opt for fixed or variable interest rates. The choice will dictate how much the loan will cost over time.

Release Equity: Turning Brick and Mortar into Cash

Equity release schemes, such as lifetime mortgages or home reversion plans, let homeowners access the money tied up in their homes.

The Mechanics of Equity Release

You can either borrow a portion of your home’s value or sell a share of your property in return for a lump sum or regular income.

Impact on Inheritance

One crucial consideration is the effect on inheritance. As the property’s value is used up, the amount left for heirs can be reduced.

Equity Release: A Deep Dive

More comprehensive than mere lifetime mortgages, equity release encompasses various products designed to free up cash from properties.

Types of Equity Release Plans

The market primarily offers Lifetime Mortgages and Home Reversion Plans. Both have their unique features and benefits.

Deciding the Best Fit

Several factors, including age, health, and financial goals, influence the choice of equity release products.

RIO Mortgage: The New Kid on the Block

RIO, or Retirement Interest-Only mortgages, are a recent addition to the financial landscape. They offer a hybrid solution, blending elements from interest-only mortgages and equity release products.

Why Choose RIO?

For retirees who can afford to pay monthly interest but not the capital, RIO provides an option to stay in their home and only repay the capital upon sale or when moving into care.

The Future of RIO Mortgages

Given their flexibility and the ageing UK population, RIO mortgages are poised for growth. However, they might not suit everyone, making personal financial advice critical.

Seeking professional advice is invaluable for navigating the complex world of equity release rates and products. Whether looking at traditional mortgages post-55 or exploring the nuances of RIO mortgages, understanding the implications for your finances and inheritance is critical to making informed decisions.

Understanding the Long-term Implications of Equity Release

Engaging in an equity release plan, be it a lifetime mortgage or a RIO, is not a decision to be taken lightly. These arrangements often span decades and can significantly influence one’s financial health, property ownership, and legacy.

Long-Term Cost Analysis

While the immediate benefits of obtaining a lump sum or monthly payouts can be enticing, evaluating the long-term costs is essential. Interest rates, especially when compounded, can substantially increase the amount owed over time.

Equity Erosion Over Time

The rolled-up interest in products like lifetime mortgages can erode a significant portion of the property’s equity if not all. This reduction can impact the residual value of the home, leaving loved ones with little to no inheritance.

Property Value and Market Fluctuations

The property market is dynamic, with values rising and falling based on various economic and regional factors. Understanding potential market fluctuations is essential when considering equity release, as they impact the equity left in the home.

Downsizing as an Alternative

Before opting for equity release, homeowners might want to consider downsizing. Selling a larger family home in favour of a smaller, more manageable property can release significant equity without needing loans or giving away a portion of the property.

• Natwest Retirement Mortgage Age
• Barclays Retirement Interest Only Mortgage Broker
• Best Mortgages For Over 50s Retirement Mortgage Providers

Benefits of Lifetime Mortgages and Equity Release

Despite caution and consideration, there are undeniable benefits to equity release schemes tailored to older homeowners.

Enhanced Financial Freedom

For many, the most apparent advantage is the immediate financial boost. Whether it’s to supplement a pension, make home improvements, or help family members, the funds can significantly enhance one’s quality of life.

Tailored Solutions for Varied Needs

The equity release market caters to diverse needs, from drawdown lifetime mortgages that allow periodic withdrawals to enhanced lifetime mortgages offering higher amounts for those with specific health conditions.

No Negative Equity Guarantees

A comforting feature of many equity release plans is the “no negative equity” guarantee. This ensures that, regardless of how the interest accumulates, the amount to be repaid will never exceed the property’s value, protecting homeowners and their heirs from further debt.

• Lloyds Bank Equity Release Brokers UK
• Nationwide Lifetime Mortgage Rates 2024
• Age Partnership Interest Rate

Choosing the Right Equity Release Product

Given the variety of equity release products, from the more traditional lifetime mortgages to the newer RIO mortgages, selecting the right one can seem daunting.

Seek Professional Advice

Professional advisers can clarify the most suitable product based on individual circumstances, financial goals, and plans. They can offer a comprehensive understanding of the immediate and long-term implications.

Research and Due Diligence

Beyond professional advice, personal research is invaluable. Research different providers, read reviews, compare rates, and understand the fine print. Familiarising oneself with industry terms and standards can also be beneficial when discussing options with advisers or providers.

• Yorkshire Bank Equity Release Schemes
• Bad Credit Mortgage House
• Natwest Equity Release Plan

Consider Future Plans and Desires

Equity release might impact future plans, whether it’s the desire to move homes, travel, or leave an inheritance. Reflecting on these desires can guide the decision-making process.

Open Conversations with Family

As equity release can influence inheritance, having open and transparent conversations with family members is advisable. It ensures that everyone involved understands the reasons behind the decision and its implications.

• Nationwide Equity Release Interest Rates
• Natwest Lifetime Mortgage Rates 2024
• BISF Equity Release Interest Rates

With its varied products and options, equity release offers older homeowners a route to financial flexibility. While undeniable benefits exist, understanding the long-term implications and costs is crucial. Whether considering a lifetime mortgage post-60 or exploring other equity release schemes, informed decisions, guided by research and professional advice, will ensure a secure and comfortable financial future.

• Halifax
• Nationwide Retirement Mortgage Interest Rates

Equity Release Lenders

• Key Retirement
• Stepchange
• More to life

Canada Life Retirement Mortgages

Legal and General Lifetime Mortgages
Equity Release Mortgage Under 55

Challenging to mortgage home titles can include properties that will be assessed for flood risk, properties close to mining works, areas of landfill, areas of recent flooding or subsidence, properties where there are boundary disputes or where planning applications have not been applied for correctly, thatched buildings and concrete panel houses.

Just

Towns where Lifetime Mortgages are common

• Padiham
• Pickering
• Charlbury
• Crewkerne
• Cheshunt
• Haxby
• Maryport
• Cleator Moor
• Newport Pagnell
• Bideford
• West Mersea
• Knutsford
• Andover

• Canada Life Prestige Flexi Option
• Hodge Lifetime Mortgage Flexible Drawdown Plan
• Pure Retirement Classic Drawdown Lite Plan
• Stonehaven Interest Select Plan
• Lloyds Bank Lifetime Mortgage
• Saga Equity Release Plans
• Aviva Equity Release Schemes
• Hodge Lifetime Mortgage Flexible Drawdown Plan
• L&G Legal & General Flexible Lifetime Mortgage
• Stonehaven Interest Only Lifetime Mortgage
• Lloyds Bank Lifetime Mortgage
• NatWest Equity Release Schemes
• Saga Equity Release Plans
• More to Life Tailored Choice Plan
• Pure Retirement Equity Release Plans
• Equity Release Plans
• TSB Lifetime Mortgage
• Loughborough Building Society Equity Release
• NatWest Interest Only Lifetime Mortgage
• Bridgewater Equity Release Plans
• Liverpool Victoria LV Equity Release Schemes
• More to life Flexi Choice Voluntary Payment Super Lite
• Equity Release Schemes
• Lloyds Bank Lifetime Mortgage

It is usual to find individuals searching for lump sum lifetime mortgages, monthly payment lifetime mortgages, or monthly payment equity releases. However, Just Retirement, like VitalityLife Equity Release, is keen to see paperwork showing your situation in the form of investment statements.

Challenging to mortgage property variants include grade ll Listed houses (grade C in Scotland and B2 in Northern Ireland), properties converted from modern commercial premises, use of the land and any outbuildings for a small amount of personal commercial use., properties that have solar farms or a large number of wind turbines on the land and properties where Japanese Knotweed is present.

The mortgage lender will want to know if the property is a Detached freehold house or a Leasehold flat and if the resident is an owner-occupier.

Examples of retired business owners likely to have equity to release like Loughborough Building Society Equity Release

• Silviculture and other forestry activities Newport Pagnell
• Production of abrasive products Smethwick
• Video production activities Glastonbury
• Wholesale of fruit and vegetables Dursley
• Manufacture of other organic necessary chemicals Maryport
• Artistic creation Stourport-on-Severn
• Fitness facilities Peacehaven
• Manufacture of glues Hayes
• Manufacture of other women’s outerwear Birkenhead
• Cold drawing of wire Crewkerne
• Manufacture of photographic and cinematographic equipment Yate
• Manufacture of rusks and biscuits; manufacture of preserved pastry goods and cakes Pershore
• Retail sale of other second-hand goods in stores, not including antiques Henley-on-Thames
• Motion picture distribution activities Saltash
• Development of building projects Dartmouth
• Research and experimental development on Biotechnology Loftus
• Collection of hazardous waste Basingstoke
• Other holiday and other collective accommodation Broughton-in-Furness

Difficult-to-finance home types can include pre-fabricated reinforced concrete (PRC), properties with spray foam insulation applied to the underside of the roof, studio flats located within the M25, privately developed flats in blocks of five storeys or more and freehold flats (England, Wales, Northern Ireland).

Hard-to-finance home types include properties in the course of construction or pre-construction, properties where multiple third parties are living in an annexe, right–to–buy properties in Scotland, properties where the customer is offering only part of the title as security for the loan, and properties where the borrower(s) own the freehold with any connected party.

Equity Release Loan To Value

The more aged you are and the sicker you are, the more tax-free money you can release.

Equity Release LTV VS Loughborough Building Society Equity Release

• 60% lump sum lifetime mortgages Royal London Equity Release
• 60% loan to value lump sum lifetime mortgages Just Retirement
• 45% LTV monthly payment lifetime mortgage Saga
• 60% loan to value lump sum lifetime mortgages Together Money
• 25% loan to value lumpsum lifetime mortgages Skipton Building Society

Downsides of Equity Release Schemes

A monthly payment lifetime mortgage can reduce the value of your estate and may impact your ability to claim benefits. You may need to pay a valuation fee, and with some products, you could be exposed to changes in interest rates.

Popular LTV percentages of Aviva interest only mortgages for over 60s near London, Direct Line later life borrowing schemes over 55, Sainsburys interest only mortgages for over 60s, Principality Building Society help to buy for over 60s, West Bromwich Building Society later life interest only mortgages over 60 and Cumberland Building Society mortgages for 60 plus pensioners are 45%, 60% and 70%.

The popular LTV ratios of Liverpool Victoria mortgages for people over 70, More to Life equity release schemes for people over 70, One Family remortgages for people over 50, Yorkshire Bank later life interest-only mortgages over 75, Metro Bank interest-only lifetime mortgages for over 70s, and SunLife mortgages for over 60s are 45%, 60%, and 70%.

Common loan-to-value ratios of TSB equity release schemes for people over 70, retirement interest only mortgages over 75, Post Office lifetime mortgages for people over 55, L&G lifetime mortgages for over 55s, RBS interest only mortgages for people over 60 and Nationwide BS later life mortgages for over 60s are 45%, 60% and 65%.

Loughborough Building Society Product name: Borrowing Into Retirement Capital repayment or interest-only? Both are available. Minimum/Maximum property value: none. Minimum/Maximum loan sum: £25,000/£350,000. Maximum loan size: 4.5x annual income if aged under 70 at the time of application; 3.5x if aged 70 or above. Maximum LTV: 60%. Minimum/max age: You must be aged 80 or above by the end of the mortgage term; no max age.

Minimum income: none, though you’ll need to prove you can afford the payments. Mortgage term: 2-25 years. Overpayments: up to ten per cent per year without early repayment charges (ERCs) on the fixed-term products, although a deal with no ERCs is also available.

How is the loan repaid? For the interest-only option, you can sell the property to pay off the loan, though other methods will be considered. Capital repayment mortgages will have been repaid by the end of the term. In all cases, you can pay off the loan early through overpayments.

Popular pensioner mortgage products are Lloyds Bank mortgages for people over 70, Barclays Bank interest-only lifetime mortgages, NatWest pensioner mortgages for people over 70, Legal & General lifetime mortgages, and Nationwide Building Society mortgages for people over 65.