One thing’s for sure, lifetime mortgages (formerly known as Equity Release mortgages) are certainly becoming more equitable, after recent lifetime mortgage rate falls have made applying for lifetime mortgages slightly cheaper – and arguably more accessible – than they’ve been for a while.
As a Guildford lifetime mortgage specialist, we’ve been watching lifetime mortgage rate fluctuations very closely.
In many ways, 2023 was one large fluctuation – in a downwards trajectory – as, according to the Equity Release Council, total equity release lending fell a staggering 58% from £6.2bn in 2022 to £2.6bn in 2023.
But that’s now about to change as lifetime mortgages bounce back.
Shall I get a lifetime mortgage?
Last year, we would have urged caution. After all, rates were increasing and property values were falling. With rates as high as they were in 2023, those applying for a lifetime mortgage then were perhaps doing so because they had little choice when it came to accessing their stored property wealth.
However, you don’t need to be a lifetime mortgage specialist to know that the market is continually changing – and over the last couple of months, it has changed considerably.
More importantly, those taking out a lifetime mortgage now have more choice (although it’s worth highlighting that the Equity Release Council revealed how 64,448 people took out new lifetime mortgage plans last year – so it never really went away).
Lifetime mortgages pros and cons
So, lifetime mortgage rates are falling and you’re thinking that it might be a way in which to release equity in a way that suits you. What next?
Sure, there are many benefits of lifetime mortgages. However, there are also some drawbacks to consider, too. And this is where finding the best lifetime mortgage broker will come in handy.
After all, a good lifetime mortgage adviser will be able to walk you through the entire pros and cons of lifetime mortgages, help establish if it’s right for you and, if it is, handle the lifetime mortgage application on your behalf.
With rates decreasing and more and more lifetime mortgage products being launched on a regular basis, now might be a good time to consider it once again.
To speak with a Guildford lifetime mortgage specialist, contact Complete Mortgages’ team of Guildford mortgage advisers on 01483 238280 or e-mail info@complete-mortgages.co.uk.
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