The lender has also launched its Indexed Lifetime Mortgage Max product, offering a variable rate of 4.54% (annual), with enhanced LTVs of between 21% and 50%.
All products are available from age 55 to age 85, with nine-year early repayment charges, which reduce in years six to nine. In addition, all products offer a free valuation on properties valued up to £1m, with a discounted valuation fee thereafter.
Steve Cox (pictured), business development director for Hodge Lifetime, said: “Given that mainstream interest only maturities will be huge for many years to come, it seems inevitable our sector will grow rapidly as customers will seek quality advice from our intermediary partners to find suitable solutions to all their later life borrowing needs.”
He added: “These reductions in rates today and the addition of our new Indexed Max product, demonstrate our commitment to the equity release sector and our intermediary partners.”
Stuart Wilson, managing director for Later Life Academy, said: “The wider consumer demand for great value lending products in ‘later years’ is being met with more and more dynamic product design and pricing.”
The announcement from Hodge Lifetime comes just after the Equity Release Council reported that the market enjoyed record annual growth in new customers and total lending in Q1 2017.