Lending into Retirement Downsizing

An interest only mortgage that allows downsizing as the repayment vehicle when the loan will be repaid in retirement.

Interest Only subject to sale & downsize of main UK residence as repayment strategy
Minimum of £250,000 equity in property required – however £150,000 could be considered subject to due diligence around the proposal e.g., locality. Written confirmation of customer plan is required
We can consider cases below this level on a discretionary basis if the property is in Northern England with suitable evidence.
Examples of property available for downsizing to in planned retirement area required
Evidence of retirement income required
Minimum loan size £30,000
Maximum loan size £3,000,000. Loans over this are priced on a bespoke basis and have restricted LTV’s
Must not be more than 10 years from retirement
Maximum term determined by ONS tables

The interest rate charged will not fall below 2.00% (the minimum interest rate) at any point during the mortgage.