The move is aimed at offering more attractive terms to many lifetime mortgage customers. The Flexible Lifetime Mortgage rates now start at 6.29% for homeowners aged between 60 and 65 years, a decrease of 0.40%. For this age range the overall cost for comparison is now 6.40% APR, down from 6.90% APR previously. The new rates remain fixed for the lifetime of the loan.
On the Lump Sum Lifetime Mortgage interest rates now start at 5.95% for customers aged between 60 and 65 years, a drop of 0.44%, with the overall cost for comparison at 6.1% APR.
Vanessa Owen, head of equity release at LV= commented: "We understand that the current economic downturn, along with falling house prices, is influencing the increasing number of older people choosing to stay in their homes longer, as opposed to downsizing into a smaller property. For those who consider equity release a viable solution to help maintain a comfortable lifestyle in retirement and fulfil their aspirations, our new age-banded interest rates will help these homeowners get some of the best deals on the market."
LV= is a member of the Safe Home Income Plans (SHIP) body.
