On death mortgages

scoobydoo2000

Hi im a newbie on this forum so please excuse any mistakes i may make.

My elderly parents would like to move to a bungalow for heath reasons, they currently own there own home that already has a very small mortgage on it ie under 30,000, they would need to get a small mortgage to be able to move to a suitable bungalow in the area they live, what type of mortgage deal can they get, even though they are both retired and dont have huge pension funds to fall back on and obviously no longer work. I have heard of some kind of "on death" mortgage deal you can get but im unable to find one. Can anyone give me some useful information for this kind of siutation. Just for info they dont not want to rent or go into sheltered housing.

Many thanks in advance

luckyfool

Equity Release or Lifetime Mortgages would be suitable. There are a variety of different types but you/your parents should speak to a qualified Equity Release Specialist and ensure that any lender is a member of SHIP (Safe Home Income Plans), the industry body.

luckyfool

Depending on the age of your youngest parent lenders can typically lend between 20-50% of the property value with interest being rolled up. Typically the interest rate charged is fixed for the life of the loan and can range from 5.5 - 6.8% roughly.