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Writer's pictureLyn Palmer

Relationship Split– If one person wants to stay in the home

It’s never easy when a couple split up, going through a relationship split can be incredibly challenging. 

 

In some cases, an Equity Release Lifetime Mortgage can provide solutions for homeowners aged 55 and over and ease some of the stress that some people may face.

 

If one person wants to stay in the property, they can release equity from the home to provide the other person a share of the property.

 

Both should seek independent legal advice as the person staying would need to have 100% ownership of the home on completion of the lifetime mortgage, when it starts.

 

If the released funds aren’t enough for the other person to buy a new home, they could consider a standard mortgage for the shortfall.

 

However, if income is a barrier for a standard mortgage, Equity Release could be an option for their new purchase. 

 

With a Lifetime Mortgage, the amount you can borrow is based on your age and the value of your property, rather than income affordability.

 

You can choose to have a plan with no committed monthly payments but have the option to make voluntary repayments if you wanted to, which would reduce the amount of interest that accumulates over time.  This means you have flexibility and control of the debt.

 

If you would like to find out more about this or anything else to do with Equity Release, drop me a message, I’m here to help.

 

📱07887885182

 

This is a lifetime mortgage. To understand the features and risks ask for a personalised illustration.  Check that this mortgage will meet your needs if you want to move or sell your home, or you want your family to inherit it. If you are in any doubt, seek independent advice.

A fee may be charged for mortgage advice, the exact amount will depend on your circumstances.

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