Later Life Lending at
Trust | Honesty | Integrity.
Values Define Us.
Speak to a Mortgage Adviser
Speak to a Mortgage Adviser
Later Life Lending at Fitch & Fitch
Our Later Life Lending proposition was established in 2021 in response to increased demand for later life funding solutions from our existing clients.
We offer Lifetime Mortgages and Retirement Interest-Only Mortgages, sourced from the full range available to mortgage intermediaries, through an experienced team of expert advisers. Whether you are looking to repay an existing mortgage or seeking to release funds for personal use, tax planning purposes, or to assist family members, we can assess your circumstances and advise on the most suitable option.
Our commitment is to provide clear, impartial advice and to deliver a first-class service — both during the mortgage application process and after the mortgage has completed.
We are members of the Equity Release Council and are authorised and regulated by the Financial Conduct Authority (FCA).
Later Life lending Solutions
The most common form of later life lending is a Lifetime Mortgage. These are available to borrowers over the age of 55 and provide a sum of money secured against the borrower’s home via first legal charge, in the same manner as a conventional mortgage. Interest rates are usually fixed for life, and borrowers can either pay some or all of the interest, or choose to make no payments and roll the interest up into the loan. The loan and any interest are repaid when the borrower (or last borrower, in joint applications) dies or moves into care. Loan size and interest rates are based on the borrower’s age and the value of the subject property. They are not assessed against income or affordability.
It is essential that all alternatives are considered when establishing the most suitable solution, these may include:
Home Reversion Plans. These schemes allow the homeowner to sell a percentage or all of their property at below market value and live there rent free until they move into care or die. At this point the home is sold and the reversion company gets its share (or all) of the proceeds.
** Please note, we do not provide advice on reversion schemes – this is not a popular product and not sufficient customers requiring the product so we refer to a suitably qualified third party if required.
Retirement Interest Only Mortgages. These products allow you to borrow a lump sum secured against your home, pay monthly interest on the loan and repay the debt when the borrower (or last borrower for joint applications) dies or moves into care. These mortgages are assessed against retirement income and in the case of joint applications, on a ‘sole survivor’ basis.
Mainstream Residential Mortgages. An increasing number of lenders are willing to offer conventional mortgage terms to older borrowers and Fitch & Fitch expert advisers are able to investigate these options on the borrower’s behalf.
Lifetime Mortgage Loan Purposes?
A lifetime mortgage can be used for most purposes, the most common uses of the funds raised include:
- Supporting the purchase of a new main residence
- Repaying an existing mortgage or other debts
- Making home improvements
- Gifting to family
- Capital expenditure e.g. holidays, a new car, a second/holiday home
- Topping-up retirement income
- Funding long-term care
- Inheritance Tax/estate planning
**If you are considering equity release for estate planning your beneficiaries may have to pay Inheritance Tax in the future. Always seek expert advice when considering this as an option.
Lifetime Mortgage Flexible Features
Future flexibility is often key when establishing the most appropriate lifetime mortgage lender and product, the following features/considerations may be important:
- Taking funds as a lump sum or on a drawdown basis
- Optional interest payments – regular or ad hoc
- Portability and downsizing protection
- Transparent Early Repayment Charges *(usually applicable for 8 – 15 years)
- Exemptions from Early Repayment Charges* on first death (joint borrowers)
- Enhanced terms for borrowers suffering from certain medical conditions
Alternatives to Lifetime Mortgages
It is possible to take out a mortgage even after retirement, using income from your pension, benefits, or investments. Specific products known as Retirement Interest-Only (RIO) mortgages should always be considered as an option before committing to an equity release solution.
Eligibility for Later Life Lending
There is no single mortgage age limit for later life lending. Lenders assess your age at application, as well as how old you’ll be at the end of the mortgage term, and make decisions on a case-by-case basis. Most lenders do have some form of age restriction, though these vary.
Traditional lenders have historically been more cautious with lending in later life, largely due to affordability checks. Retirement mortgage affordability is based on income and expenditure. If your affordability is lower, you may be viewed as higher risk, which can limit your options.
With later life mortgages, however, there are generally fewer restrictions on upper age limits. As long as the youngest applicant is aged 55 or over, you could be eligible for a later life mortgage.
Why use Fitch & Fitch for later life lending?
The Equity Release Council is the official industry body for the UK’s equity release sector. Since 1991, it has enforced strict safeguarding and customer protection standards to promote best practice and fair advice.
As members, we will present your options clearly, fairly explaining the benefits and limitations of each product. We’ll also ensure that you understand your obligations under the terms of any agreement.
To learn more about our involvement with the Equity Release Council, click here. Fitch & Fitch is committed to providing impartial, whole-of-market later life lending advice.
Common Questions About Later Life Lending
Releasing Equity from Your Home
MoneyHelper offers independent, government-backed guidance on equity release. This guide is designed for individuals approaching or in retirement who are considering using property wealth to access a lump sum or additional income.
What our clients are saying…
How can we help?
At Fitch & Fitch, our Later Life Lending team provides expert, confidential advice tailored to your needs. Whether you’re looking to boost your retirement income, make home improvements, repay an existing mortgage, or support your family, we’ll help you navigate the process with confidence.
For more detailed information or to discuss your specific requirements, please contact us via email at laterlife@fitchandfitch.co.uk or call us at 020 7859 4096.
