Disabled pensioner and needing a loan

Ridersbolt

I am a single 70 year old female, have full disability benefits (including max PIP) guaranteed pension credit, retirement pension plus a medium sized private pension. I need a downstairs extension for a bedroom and bathroom due to mobility issues. The council are considering a Grant plus some savings but it won't be enough to cover the whole cost. Are there lenders who will consider me for a loan of say £10,000 in my situation?

grumbler

It's better to ask on  Loans   board.

Or, possibly, on  Mortgages & endowments one if you are prepared to consider a secured loan.

knightstyle

If you own the property go to a mortgage broker and get a mortgage.  I am nearly 80 and still have a mortgage with 12 years to go.

FreeBear

knightstyle said:

If you own the property go to a mortgage broker and get a mortgage.  I am nearly 80 and still have a mortgage with 12 years to go.

Minimum amount for a mortgage is usually around £25,000.

gwynlas

If you have no dependents then you could consider equity release. Repayments on a £10.00o loan are likely to come with a high interest rate whereas equity release would be paid from your residual estate. Otherwise a mortgage secured on your property might be cheaper and allow you to have more work done, A mortgage broker should easily be able to get you one until age 80 at least.. You might want to consider having a OT assessment regarding future needs such as lower worktops in kitchen or raising plug sockets so more accessible.. Please post an update when work completed as we are all getting older and should plan early for our changing needs

Bigphil1474

Have you considered moving to a bungalow? There are a lot of empty properties near me as landlords seem to be getting out of the rental market. May be same near you. Might save you money and even have a small pot left if you downsize. 

silvercar

I'll ask the forum team to move this to the loan board, as I think £10k would be too small for a mortgage.

Ridersbolt

gwynlas said:

If you have no dependents then you could consider equity release. Repayments on a £10.00o loan are likely to come with a high interest rate whereas equity release would be paid from your residual estate. Otherwise a mortgage secured on your property might be cheaper and allow you to have more work done, A mortgage broker should easily be able to get you one until age 80 at least.. You might want to consider having a OT assessment regarding future needs such as lower worktops in kitchen or raising plug sockets so more accessible.. Please post an update when work completed as we are all getting older and should plan early for our changing needs

Great info thanks. I am in process of obtaining a grant from the council via an OT person who has assessed my future needs although the process is slow, 1 year into a possible 2 year period. Don't wish to take out equity release for personal reasons. The mortgage sounds like the best way to go (or possibly another type of secured loan) I'm still in date lol at age 70. Will update when sorted but might be a long wait! 😁

Ridersbolt

silvercar said:

I'll ask the forum team to move this to the loan board, as I think £10k would be too small for a mortgage.

Thank you!

Ridersbolt

Bigphil1474 said:

Have you considered moving to a bungalow? There are a lot of empty properties near me as landlords seem to be getting out of the rental market. May be same near you. Might save you money and even have a small pot left if you downsize. 

Thanks for info but I've invested time, money and lots of stress building my little eco house over the past 25years so don't wish to move. I bought a "rubbish tip" of 4acres with asbestos buildings on a beautiful position looking over North Devon which I have gradually cleared and made beautiful. In addition, if I had cash left over, my means tested benefits would reduce so in the long run I would lose income. Thanks for your advice anyway. 👍