Legal and General has added two products to its lifetime mortgage range and cut the minimum age for borrowers.
The Flexible Max and Flexible Max Plus products provide a fee-free drawdown facility meaning the lender offers the facility across its lifetime mortgage range.
Customers can borrow less than the maximum loan amount, with the remaining funds accessible if required, without the need to pay any additional fee.
Customers will not be charged for the unused drawdown facility. The minimum initial advance customers can take across all products, excluding Premier Flexible, is £10,000.
Legal and General also reduced the minimum age for customers to apply for a lifetime mortgage from 60 to 55.
Loan-to-Value (LTV) ratios for single or joint applications for customers aged 55 to 59 will be:
|Age||Premier Flexible||Flexible||Flexible Plus||Flexible Max||Flexible Max Plus|
The LTVs for customers aged 60 and over remain unchanged.
Flexible Max and Flexible Max plus have the same LTVs as existing Lump Sum and Lump Sum Plus products.
Legal and General Home Finance managing director Steve Ellis (pictured) said the move would give consumers more options in how they release the equity tied up in their home and in particular, to only borrow the money they needed, when they needed it.
“Lifetime mortgages have a much more central role to play in providing potential retirement lending solutions to a greater number of people.
“By reducing our minimum borrower age to 55 we hope that more customers will be able to consider accessing the money stored in their home to provide greater financial certainty for themselves and those who they care about,” he added.