home for life plans

ellajack

just discovered this plan on a estate agents website,has anybody heard of this and is it a good idea ?

mjdh1957

So what is it?

cufc_mike

Google says......

Home For Life Plan

Simply explained, the Home For Life Plan enables you to significantly reduce the price you pay for your chosen property if you are aged 60 or over.

By reducing the price you pay for your next home, our plan can enable you to:
Afford a bigger or better property
Afford to move to your preferred location
Raise money from the sale of your current home
Pay off debts
Give an early inheritance to loved ones
Buy a second home

We are proud to have helped thousands of our clients achieve all of the above.

The way it works is simple:

You choose the property of your choice nationwide.

We purchase the property at the market value and sell you a Home For Life Plan to live in the property for the remainder of your lifetime/s.

For your protection, you are granted a lease for your lifetime/s on the property which is registered at Land Registry by your solicitor.

The one off price you pay for your Home For Life Plan could provide you with a discount on the property purchase price of up to 40%. The price you pay is based upon your age, gender and marital status.

If you would like to leave an inheritance to your family or loved ones you can retain up to 50% of the property?s value. If you have retained a percentage of the property?s value, you will pay more for your Home For Life Plan.

When you die or permanently enter into long-term care, the property reverts back to the company. If you have retained a percentage of the property?s value, the property is sold and your share of the net sale proceeds is paid to you or your estate.

The Home For Life Plan is not a mortgage or loan, so there are no ongoing monthly payments or interest to pay. You will be responsible for the maintenance of the property and paying utility bills, like you would on a conventional property purchase.

The Home For Life Plan is flexible. If your lifestyle needs change, you are free to move your plan to a new property subject to it meeting the company?s standard criteria.

You will need to obtain independent legal advice from a solicitor to purchase a property under a Home For Life Plan. Your solicitor will be able to confirm the Home For Life Plan is legally safe and secure and that you will have a home for life to enjoy during your retirement.

Strapped

ellajack wrote: »

just discovered this plan on a estate agents website,has anybody heard of this and is it a good idea ?

I assume that it may be suitable for anyone with no-one to leave anything to, but what about moving, or needing to go into care?

spnoe

In answer to the last question; if you die then your share goes to your inheritors and the rest to the company that has given you the balance. The same happens if you need to go in to Residential or Nursing care, you can use your share towards the Care costs.

I do not know what the costs of this scheme or if there are other issues that could have a negative impact.:):)