Hodge Lifetime has made quite a name for itself, providing products for the retirement market for over four decades. Since 1965, Hodge Lifetime has created strategies for retirees that include a variety of different lifetime mortgages and equity release schemes. Hodge Lifetime is no stranger to awards, having won the Innovation Award from Mortgage Finance Gazette in 2014 and a variety of different awards in 2013 including online service awards for life & pension’s provider and mortgage lender & packager.
The Flexible Lifetime Mortgage offered by Hodge Lifetime is another great product offered by this lender to serve those consumers that are looking for options when it comes to financing their retirement years. The flexible repayment plan option from Hodge Lifetime means that you are able to receive a tax free cash lump sum up-front with future options available for cash withdrawals in the future if needed.
This product is perfect for those consumers who are looking to take out a smaller amount of money up-front and tax-free but would still like the opportunity to reserve the ability to take out further withdrawals should they need it. The interest rate on the flexible payment option is fixed for the lifetime of the plan.
There are two very unique features to this particular product:
1. Downsizing Protection. There is a protection should you want to downsize in the future. Under this feature, you will not incur any early repayment charges should you decide to sell your home after the first five years following your lifetime mortgage and subsequently pay off your loan. This would allow you to move into a new home, or smaller home, should you want to downsize.
2. Flexible repayment option. Under this feature, you are able to pay up to 10% of the initial lump sum you received, plus 10% of any further withdrawals you take out, without incurring any early repayment charges.
Once you have received your initial tax-free lump sum, you are eligible to receive further withdrawals, but each transaction must be a minimum of at least £1,000. There are no administration charges for each further drawdown taken.
In order to qualify for this product, you need to be at least 60 years old, but cannot be older than 85. You must also have a property value that is a minimum of £100,000 but cannot exceed £1,000,000. The minimum loan allowed is £15,000 in addition to the £5,000 cash withdrawal option. The maximum loan available is £500,000 with the property being situated in England, mainland Scotland & Wales.