Just Retirement offers seven years’ experience in the equity release industry. Homeowners interested in the Just Retirement Roll-up Lifetime Mortgage may benefit from the experience, customer service and financial knowledge of the Just Retirement Group who are listed on the London Stock Market. The Roll-up Lifetime Mortgage is just one product offered by this company.
Summary of the Just Retirement Lifetime Mortgage
The Just Retirement roll-up lifetime mortgage compounds interest each year onto the capital lump sum provided to the consumer. Repayment is only due on the death or the last person moving into a long-term care facility.
The Roll-up Lifetime Mortgage from Just Retirement is a drawdown type of lifetime mortgage scheme. Therefore homeowners can take a lower initial lump sum, which leaves a cash reserve facility available for future borrowing. This cash drawdown facility can be taken in minimum amounts of £2,000 as and when needed with no further administration fees for each subsequent withdrawal. The advantage of drawdown equity release plans is that interest only accrues on funds actually withdrawn by the homeowner.
Criteria of the Just Retirement Drawdown plan
Plans begin at age 60 with no maximum age stated by Just Retirement. The home must be located in England, mainland Scotland & Wales with standard construction, and be the main residence for the homeowner(s). The minimum property value required is £70,000. The percentage of loan to value awarded to consumers is based on age and property value, where it is possible to take an initial lower lump sum to reserve additional funds as needed.
The minimum loan amount is £10,000, up to a maximum of £600,000 for clients in England. Clients in Wales or Scotland can release a maximum of £250,000. Each subsequent withdrawal from the facility must be a minimum of £2,000, and is not subject to any further approval or revaluation.
Unique Features of this Drawdown Mortgage
The maximum cash facility is restricted. It means for England the reserve is lower of 3 times the beginning advance or a maximum of £200,000. Again the maximum amount in reserve is based on age and property value, plus the location of the residence.
As a roll-up drawdown mortgage the interest rate accumulates onto the capital sum, repayment is only required the end. The interest rate is fixed and interest is only charged on the initial sum plus any subsequent withdrawals.
Just Retirement will allow partial repayments at any time but these would be subject to potential early repayment charges linked to FTSE UK Gilts 15 Year Yield Index. Full repayment usually occurs at the time of death, home sale, or move to a care centre. There are fees charged should early repayment be necessary.
Just Retirement Equity Release Incentives
Just Retirement’s Roll-up Lifetime Mortgage incentives include free unlimited valuation, plus an exclusively reduced interest rate. The interest rate is dependent on borrower qualifications and whether the ill-health option is included.