Refurbishment mortgages offer a DIY lifeline
12 Mar 2018
Legal & General (L&G) is to offer more property refurbishment lifetime mortgages, aimed specifically at funding essential repairs for homeowners aged 55 and over.
After a successful trial in London, the scheme will be offered in Bristol, Oxford and the Black Country, with the ultimate aim of introducing it across the country.
The department for housing, communities and local government estimates that one in five older homeowners is living in accommodation that falls short of decent standards, but can’t afford to make improvements. The number in London, it says, is more than 80,000.
The scheme will offer the same rates as L&G’s other equity release schemes, which allow homeowners over the age of 55 to get money from their house without having to sell. The two main types of equity release are lifetime mortgages, which allow homeowners to borrow money, and home reversions, where a share of the house is sold to an equity release provider.
The full article first appeared in The Times on 10.03.2018 and is available to read via the link below.
The UK faces a looming crisis, with older customers living in unsuitable or dilapidated accommodation that they are reluctant to leave, but often cannot afford to repair. The UK’s ageing population... and factors restricting the downsizing market are contributing to the problem.
Nigel Wilson, CEO of Legal & General Group