Prepare for your Meeting with the Lifetime Mortgage Adviser
When releasing Equity from your home by way of a Lifetime Mortgage, the decision to do this should not be made quickly.There are many questions to ask and discussions to have.Below are some pointers as to how to prepare for your meeting with the Lifetime Mortgage Adviser.
Use a ‘whole of market’ adviser
Whole of Market means that your adviser will have access to the Lifetime Mortgage deals available to the intermediary market will be able to recommend the most appropriate Lifetime Mortgage Product suitable to your financial circumstances
Take a relative or friend to the meeting
Taking out a Lifetime Mortgage can be a very daunting process, particularly if you have not had a mortgage for a while, or if you have been in a relationship where you have not had to worry about the household finances.
Taking a relative or a friend to the meeting, means two heads thinking of questions, which is always good, as we don’t all think the same, and someone else’s questions can often make you think in a different way.
Talk to your family and/or the beneficiaries of you Will
It is always a good idea to discuss your plans with family and/or the beneficiaries of you Will.It may be that a family loan could be made to you rather than taking out a Lifetime Mortgage, or there may be other options available to you through family or friends.This also provides an element of protection to ensure that the decision to release equity from your home, is a well thought out one and is right for you.
Take a full list of any State Benefits which you already receive or may receive in the future
As some State Benefits are means tested, releasing Equity from your home by way of a Lifetime Mortgage can affect these benefits
Take a full list of questions with you
Before the meeting you will think clearly about what you want to ask, but nine times out of ten, during a meeting these questions will be forgotten as there will be so many other elements to think about.
Releasing Equity from your home by way of a Lifetime Mortgage has to be appropriate and right for YOU.Never worry about asking questions, I always tell my clients, there is no such thing as a ‘silly question’.
Ask at the beginning for the Adviser to clarify their fees, and when these fees are due to be paid
Advisers will usually charge a Fee for Advice, Research and Recommendation of a Lifetime Mortgage and may also be paid commission from the Provider of the Lifetime Mortgage for the introduction and processing the application through to completion.Usually the Adviser will charge either a flat fee or a % of the amount of mortgage you are taking.
Ask what options there are for paying the fees
Usually, when Releasing Equity from your home, it is because youdon’t have any savings.Often the fee will put people off taking out the Lifetime Mortgage as they are unsure how they will pay the fee.Ask if this can be added to the loan. Please note that by adding fees to the loan it will increase the cost of the borrowing.
A lifetime mortgage will be secured against your home.