Stonehaven Interest Select Max is only one lifetime mortgage plan on offer from the company. Stonehaven started offering equity release products in the last decade, starting in 2006. The company follows Financial Conduct Authority regulations, as well as adheres to the code of conduct set out by the Equity Release Council. The Interest Select Max plan is different from some of their other interest only plans in that consumers seek this plan for maximum lump sum payment.
Summary of the Interest Select Max from Stonehaven
Stonehaven offers Interest Select Max, Plus, Lite, and standard as interest only lifetime mortgages. Each one is designed to work with different loan to value requirements from homeowners to ensure there is a product for all borrowers of retirement age.
The Interest Select Max stands apart from the other three Stonehaven products as it offers the highest maximum equity release sum of the product range. In addition the interest rate is rated too, therefore care should be exhibited to ensure the correct plan is chosen as just a few £1000 either way can make a large difference to the monthly payments.
Once the capital sum is released then the applicant will commence making monthly payments, the level of which will have been determined using the Stonehaven affordability checker. By choosing to repay the full amount of interest charged each month will ensure the balance will always remain level.
Criteria of the Stonehaven Interest Select Max
Interest Select Max from Stonehaven is designed for anyone who is 55 years or older. When sending in a joint application the youngest homeowner must be 55 years of age or more. The property must be located in mainland Scotland, England or Wales to qualify.
This is an interest only lifetime mortgage that provides a lump sum to the homeowner. The lump sum is higher than any of the other Stonehaven Interest Select plans. It is designed for homeowners in need of the largest tax-free sum than is standard with interest only lifetime mortgages. This does increase the interest rate above those of the other Interest Select plans from Stonehaven.
The homeowner must accept a minimum release of £10,000 and the property must value at £70,000 or more.
It is an interest only mortgage; therefore, repayment is based on an interest payment where the capital sum is due at death or when the last homeowner moves into an assisted facility.
Unique Features of this Interest Only Mortgage
Proof of income is required with the Interest Select Max. The loan is therefore verification mortgage where all pension statements need to be evidenced to the lender.
It is possible to rollover the Interest Select Max plan into a standard lump sum with roll up interest if the homeowner is no longer able to make interest payments.
Repayment is required on a monthly basis of at least £25. This flexible repayment scheme will add any interest unpaid during the month to the principle sum. If the interest is paid in full the capital sum remains the same. This provides some protection of inheritance for the property owner.
Stonehaven Equity Release Incentives
Like the Lite Plan, Stonehaven Interest Select Max incentives are non-exclusive with £1,000 cash back allowance plus Inheritance Protection.