Baby boomers rush for lifetime mortgages

City Finance Reporter for the Daily Mail

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More baby boomers are signing divided homes by lifetime mortgages

More baby boomers are signing divided homes by lifetime mortgages

More baby boomers are signing divided homes by lifetime mortgages

Thousands of baby boomers who came of age in the 1960s and 70s are signing divided homes by lifetime mortgages which can leave their children with zero to inherit.

Savings organisation Legal General (LG) has seen a swell in direct for the products, which allows owners to steal cash against the value of their residence and repay it after they die, and interest.

But experts advise sky-high seductiveness rates mostly meant that the value of the residence is swallowed up, so the next era loses all – a conditions that can hint family disputes.

LG has lent £900million in lifetime mortgages given the start of 2017 – 71 per cent up on this time in 2016, and believes there is room for growth.

More than 18,000 people sealed over their homes in sell for cash in the 3 months to Sep 30, says the Equity Release Council.

When banks direct final amends on interest-only mortgages, equity recover is the only way for many to keep their home. 

LG pronounced altogether sales in its retirement arm have hit £6.2billion.


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