Domus Mea Property Finance
Mortgages ~ Equity Release ~ Protection
Mortgages
Equity Release
The issue with getting a mortgage in later years is providing income. There are many older people who find themselves in predicament – with little or no income because they are not working or relaying on a pension but with plenty of equity in their home, which lenders will not let them release because they haven’t got the income to support that borrowing. Many of these people would rather not sell up and downsize, leaving the family home in order to free up the cash to live on.
Lifetime mortgages introduce financial freedom into later life, whether travelling your dreams, renovating your home, supplementing your income, paying off an interest-only mortgage, or all of the above! They allow you to unlock the value of your home and turn it into a cash lump-sum or a regular income, tax free!
Be empowered by borrowing and repayment flexibilities, along with confidence that you have made the right decision.
The decision to take out equity release is often a family decision and it is usually a good idea if the borrower’s children or family members are also involved. The most popular option is a Lifetime Mortgage because there are no monthly repayments – instead the interest rolls up and is repaid when your property is eventually sold.
Alternatively, the exotically named RIO mortgage (Retirement Interest Only) might be more suitable if you can afford to pay the monthly interest from your retirement income.
Protection
At Domus Mea we believe that providing you with a mortgage is only half of the job, that’s why we take the time to discuss with you in details you protection arrangements as well. Whether it be replacing your income during long term sickness, accident or redundancy, providing for your partner and family in the event of serious illness or death or insuring your home and contents, we are able to guide you to the right solution for your individual circumstances.
Your individual needs and circumstances will change throughout your life – we will agree a regular review period with you in order to maintain suitable cover for you and your family, home and lifestyle. Below is a summary of the types of protection cover we will advise you on:
- Life cover: provides a lump sum to your beneficiaries/family in the event of your death. Often this sum of money can be used to pay off a mortgage and/or provide for your family.
- Critical illness cover: provides a lump sum in the event you are diagnosed with an illness from a specified list of illnesses – where the lump sum can be used for any purpose – including paying off some or all of your mortgage or paying for medical treatment.
- Income protection: will pay an income to you, proportionate to your earned income, in the event you are unable to work due to ill health or incapacity. This could pay you until the end of your mortgage term or until you reach retirement – and without it you must rely on your own resources to maintain your mortgage payments, associated costs and lifestyle.
- Building and Contents: buildings insurance is a requirement of all mortgage lenders, and will pay out a sum adequate to rebuild the property in the event the property is seriously damaged. Contents cover will insure your personal possessions stored within the home, which you have worked hard to accumulate.