Lifetime Mortgage

MWT

Onlooker2 said:

Bank loans,interest only mortgages are available against you property into your 70s or 80s .Downsizing is also a good option despite been decried by the  Equity Release industry.Consider

Just as a public service for anyone who stumbles across this sad memorial to the OP's original unwise decision...

These days the independent advice process that is a precursor to any equity release application will carefully examine all the alternative options such as downsizing, bank loans etc.

Similarly, equity release products encompass the ability to make repayments to prevent the interest compounding and to reduce the overall balance as well so the rate at which the loan amount grows is entirely in the hands of the borrower.

Onlooker2

The future,your future with regards to committing to a mortgage for your lifetime looks very uncertain to say the least.The financial services dont know what the outcome will be.The advice to borrow long term at this moment in time is led to some providers taking advantage of some peoples difficulties .The last time,2008,a similar crisis arose house prices went down by almost 15% and took 5 years to regain the losses to homeholders property.Can it happen again?.Waiting has to be the sensible option or seeking short term borrowings until everyone has a clearer picture of the future of housing markets.2021  is an unknownConsider

Onlooker2

The only guarantee attached to releasing monies this way is that the providers will not sue for any more monies than your home is worth if and when the total of your borrowings plus accrued compounding interest reaches this point in your lifetime.Depending on your borrowings plus added on compound interest may not total 100% it could come to a large percentage of your holdings.That is guaranteed.The only remit is house price inflation which got you in your position in the first place .This figure cannot be guaranteed particulary in these changing times..House price deflation will bring all present borrowers closer to that 100% guranteed.Wait,look to cheaper options elsewhere.A figure of the number of people affected by this guarantee provided by these lenders might help you decision.Consider.

spoovy

So when you borrowed money, they charged you interest.
45 pages. Consider.

MWT

In the 11 years since the OP took their Equity Release the entire process and the product features have all changed so there is little of relevance to a current borrower in the entire thread... Consider. 

Thrugelmir

Reaching the level of being spam now.  Consider. 

Onlooker2

If 50 homeholders use this method of raising £20,000. from their paid for property they will decrease their holdings in said homes by £1million.If 20 homeholders raise £50,000,same answer a debt of £1million.Any figures will produce similar results.These borrowings will attract compounding interest producing a doubling or even a tripling of monies to be repaid at some point in your future .Guaranteed.The term 1 thousand million equals 1 billion pounds a term being widely used a this moment in time and that makes a lifetime commitment for the collective number of borrowers  even more hazardous.Other methods or raising monies are cheaper than ever.Wait and look .Consider

Onlooker2

Wait,wait for the unknown financial future for all homeholders .Look back to all the previous postings on taking a mortgage for your lifetime.Once any borrower has committed to this form of raising monies it can be very costly to switch even to the cheaper rates being offered.Wait .Consider

MWT

Wait while house prices may fall and interest rates may rise...

Everyone has a different reason for considering this type of product, take advice and decide for yourself what is right for your circumstances and when the right moment has come...

The current products and advice are very different from the ones the prophets of doom would have you believe. Consider

calleyw

this whole thread is just like a broken record, it just goes on and on, its never ending and not helping anyone.  So from what I get the OP messed up by getting a product that they did not fully understand.  So rather than down size, went yeah I take the free money but has made no payments towards the interest?

How did the op think that the company lending the money was going to make a profit?  While waiting years and years for the investment they made.  Sorry just beggar belief that anyone can be that naive

Yours

Calley x