New lifetime mortgage from equity release experts

29 July 2008 / by Rachael Stiles
LV= has launched a new lifetime mortgage as part of its equity release product range, which will be available to online mortgage customers.

The new Flexible Lifetime Mortgage allows homeowners to release cash from their home, including up to the maximum amount with a 15 year guarantee.

The mortgage also comes with a No Negative Equity guarantee which means that homeowners will not be allowed to take out more cash than their home has value, thereby owing more than their home is worth.

Financial advisors will now be able offer the Flexible Lifetime Mortgage to clients between the ages of 60 and 95. They will have access to a minimum of £10,000 of their home's value, with additional withdrawals of at least £2,000 up to the maximum loan-to-value amount – how much they own of the property compared to how much, if any, is still owed to a mortgage lender.

LV – a member of SHIP (Safe Home Income Plans) – says that their new lifetime mortgage will meet consumer needs in these times of economic crisis, when homeowners, especially vulnerable ones such as retirees who are on a meagre pension, are finding it difficult to make ends meet and turn to equity release as a means of paying the bills.

"We are pleased to have launched our Flexible Lifetime Mortgage and it is particularly exciting to have the chance to accompany this with the technology to aid financial advisers, and ultimately enable them to provide the best service to their clients." said Vanessa Owen, head of equity release at LV=.

"This collaboration with Assureweb will make our product more accessible and will mean that financial advisers have a wider choice for their clients when advising on the best options for a flexible equity release product."

© Fair Investment Company Ltd