Advice please

unsure1234567

A friend of mine has been diagnosed with cancer and will be in 3 and 1/2 years be at the end of his mortgage.

He swapped to interest only during he has been out of work and been paying it.

However I am worried for him for when he reaches the end of the mortgage as he is over 60 and currently 30k is left on the plan.

The house itself was bought back in the 90s and there is equity in the property.

I am unsure what he can do if anything given his circumstances come to end of the mortgage.

i have been researching about "Lifetime mortgages" and "Home Reversion mortgages". Is the correct avenue to look into...I dont know??????

The last thing he needs right now fearing that the mortgage company demanding the house back at the end of the plan and needing to sell...

your advice please

unsure1234567

Is Equity Release Schemes - Enhanced Lifetime Mortgage suitable for him

Cornucopia

Possibly.

The rules for these products are fairly stringent now, so it'll come down to the detail of whether he qualifies/whether he benefits. Best plan is for him to speak to a financial adviser qualified to advise on these products.

3mph

If your friend has a Maggies near him it is worth going to see them as they can give advice and contacts for these sorts of situations.

G_M

Does he have money in a pension scheme? He may well be able to take early retiremnt on ill health grounds.

I assume no health insurance and /or incapacity insurance etc?

As well as Maggies, Macmillan will offer advice on benefits and finance. They also offer grants though I suspect only small amounts.

Who is the lender? Some are more understanding than others, and they may extend the existing interest only mortgage.

AdrianC

What sort of value property are we talking about? £30k outstanding is relatively trivial in the grand scheme of mortgages - and it's unlikely any lender will get too uppity over it, especially with valid serious health concerns.

hazyjo

Are we talking terminal or something they hope to cure? Many people recover, it's not always a death sentence or something someone will have to deal with for years (although my dad had it in various places for six years before he died). A friend died after two weeks of being diagnosed last year and several others I know are now completely clear of it.


It's very hard to predict what someone will need or want in three years. If he has a big house, it may be a blessing to downsize if he is struggling healthwise.