Later life lending refers to a range of financial products that enable individuals aged 55 and over to access the equity (cash) tied up in their property. We work with trusted business partners who offer specialist advice and access to a comprehensive range of Later life lending products, ensuring tailored support to meet individual needs and circumstances.
Is Later life lending Right for You?
At South Yorkshire Money, we ensure that any decision you make is made by yourself, and best suited to your circumstances at the time of arranging a plan. If you are a homeowner over the age of 55 and perhaps want to clear some debts, maybe do some much-needed home improvements, go on the holiday of a lifetime or even want to help family members with a house deposit, Later life lending may well just be the right product for you.
We welcome and encourage your loved ones’ involvement throughout the process, so that you can assess if Later life lending is the right thing for you and your family. We like to handle things face to face so that we can understand your situation and provide the best service possible.
Whilst there a no restrictions on what the funds released can be used for, typically they are used for one or more of the following reasons:
- The holiday of a lifetime
- Helping or treating family
- Paying off outstanding debts
- Home improvements
- Repaying an existing mortgage
- Buying a new car, caravan or holiday home
An Later life lending plan may sound like the service for you, but we advise that you read some of the advantages and disadvantages below before you make a choice:
| Advantages | Disadvantages |
|---|---|
| You continue to live in your own home, rent free, for the rest of your life or until you move into permanent residential care. | The value of your estate will reduce and the amount you can pass on in inheritance via your estate will therefore also decrease. |
| The ‘no-negative equity guarantee’ means that you will never have to repay more than the value of your home and your estate will never owe more than the property is worth when it is sold. | Your entitlement to certain state benefits may be affected. |
| The tax-free cash that you release can be used for anything you like from home improvements, clearing a mortgage or debt, to the holiday of a lifetime. | If you wish to repay or end the plan early there may be financial penalties in doing so. |
| With some plans, there are no regular payments to make, the option is yours | Some lifetime mortgages are paid back with compounded interest meaning that over the longer term the amount you owe can grow quite quickly. |
| The flexibility of modern Later life lending plans means that you can release the money as a lump sum, or a lump sum with a drawdown facility. | You should always consider the alternatives. Later life lending is just one possible option for acquiring tax-free money from your home; downsizing or taking on a lodger are two other options. |
No fuss, no hassle, just Simple, Smart Advice.
Our advice is tailored to your circumstances, so if you have any questions regarding later life lending or simply wish to know more then please don't hesitate to get in touch.
These tools will give you a head start on what you might be able to afford and borrow for your first house.
Borrowing Calculator
This quick and simple calculator is a good place to start as it'll give you an idea on how much you could borrow.
Repayment Calculator
Once you know roughly how much you can borrow, we can help you work out what your monthly repayments would be, ensuring you stay within budget.
Important information
Your home may be repossessed if you do not keep up repayments on your mortgage. There may be a fee for mortgage advice. The actual amount you pay will depend on your circumstances. The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.