This is for illustrative purposes only and does not constitute as advice.
Home Improvements
Two Sisters, Alice aged 83 years old, and Eileen aged 81 required to borrow funds so that they could complete necessary home improvements on their flat in Folkestone. They had limited retirement income but wanted to remain in the flat for their lifetime if possible. Their solicitor had suggested they take advice and recommended they see an adviser.
They raised £21,000 to cover the cost of a new kitchen and bathroom whilst also providing them with a small emergency fund to help with unexpected costs. Due to limited income, they chose to roll up the interest on the borrowing with the rate fixed for their lifetime. A drawdown reserve facility was also provided in case of future emergency expenditure being required.
Rolling up the interest means that their estate will be reduced on death but they did not have dependents and were happy with interest rolling up on this basis.
- Interest Fixed at Oustet for life
- Interest rolling up so debt increasing reducing estate value
- Overpayments allowed subject to limits which will reduce debt owing
- No negative equity guarantee
- Home improvement and house price growth supports estate value
- Drawdown Facility for future use provided
- Clients remain in their home with no moving related costs
Important information
Your home may be repossessed if you do not keep up repayments on your mortgage. Some buy to let mortgages are not regulated by the Financial Conduct Authority.
Equity Release, Lifetime Mortgages & Home Reversion plans will reduce the value of your estate and can affect your eligibility for means tested benefits.
Later Life Financial Advice is trading style of Kent Financial Consultants Limited who are registered in England and Wales.
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Registered Address : 64 High Street, Broadstairs, Kent, England, CT10 1JT.
The guidance and/or information contained within this website is subject to the UK regulatory regime, and therefore targeted at consumers based in the UK.
Later Life Financial Advice is a trading style of Kent Financial Consultants Ltd which is an appointed representative of Quilter Financial Services Ltd, which is authorised and regulated by the Financial Conduct Authority. Quilter Financial Services Ltd is entered on the FCA register under reference 440718.
