Challenge

• Over the years, they hadn’t spent much time or money on the upkeep of their home as other things took priority. It was in need of an update, especially the kitchen and bathroom.
• The couple had restricted mobility and although they tried not to let it get in the way of things, it was becoming ever more difficult to access their sloped garden and enjoy it in the warmer months.
• On top of the home renovations, they also envisaged that their car would need upgrading in the future, but they did not have sufficient income to cover car loan payments.
• All these financial burdens were coming around at once. The couple’s savings were depleted as they had been retired for a few years. They knew they didn’t have sufficient savings to complete the work they desperately needed to do.
• They didn’t want to sell up and move to a new house. This was the home they loved and cherished the memories they held there.

Solution

• We didn’t want them to move either, so we recommended a lifetime mortgage solution. This allowed them to take a lump sum first from their lifetime mortgage. They used this money to complete the major kitchen, bathroom and garden works.
Another benefit of their lifetime mortgage was that it had a pre-agreed drawdown facility to use in the future when it was time to change their car. This meant it only incurred interest when they needed to use the money for the car purchase.