LV= launches lifetime mortgage

LV= (formerly Liverpool Victoria) has launched a new equity release product.

The friendly society’s Flexible Lifetime Mortgage allows homeowners to draw on the equity in their homes, as needs arise.

It also provides a 15-year guarantee on the maximum amount that can be withdrawn, which will be honoured regardless of future trends in UK property prices and interest rates.

The plan is open to homeowners aged between 60 and 95 and the product comes with a No Negative Equity Guarantee which means that neither the homeowner nor their estate will ever have to pay back more than the value of the property.

The minimum amount that can be withdrawn is £10,000 and if funds need topping up, additional withdrawals must be for at least £2,000 (up to the maximum loan-to-value ratio specified under the guarantee).

An initial application fee of £695 covers two further property re-valuations throughout the lifetime of the loan.

Finally, financial advisers can access quotations online, via Assureweb.

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