Has anyone been successful getting an interest only mortgage (age 55+ RIO) w/ DWP benefits as income

MoneySaverUK123

Thanks a lot for the excellent info!

Do you mind if I ask just one more question please...

I tried an ER lifetime mortgage calculator online, and to summarise, it said this for a property worth 150K, and based on this, a ~47K loan was suggested, at the age of 55 -

Month 1    £47,895    £223.91(interest)

...ending with...
Year 15    £104,855    £5,707(compounded interest!)

So if I am still alive at 70, and 15 years has elapsed, will a new ER-LM contract be established then for say another 15 years, because all over the net I see "15 years" being given as examples for ER-LM.

MWT

MoneySaverUK123 said:

So if I am still alive at 70, and 15 years has elapsed, will a new ER-LM contract be established then for say another 15 years, because all over the net I see "15 years" being given as examples for ER-LM.

No, the 'Lifetime' reference in the product name means for your lifetime or until you have to go into long term care.

So there is no new product required, they just have to give an example to show how the compound interest rolls up over the years.

Also don't forget that there is an expectation that there may be some increase in the property value as well over those years...

This is why these products also place an obligation on you to maintain the property to a good standard during your lifetime and why the lenders can be picky about the type of property, location, construction method and adjacencies (commercial, industrial, pylons etc.).