Pure Retirement, a well-known lifetime mortgage lender, has recently made some significant updates to its loan offerings, especially within its heritage range.
The company has reintroduced its higher Loan to Value (LTV) products, namely the Super Max Plus and Supreme options. These are now available to applicants starting from age 55, offering LTVs up to 43% and 46% respectively. This is a big deal for those looking for more borrowing power against the value of their homes.
Broader Accessibility
In a move to make their products more accessible, Pure Retirement has lowered the minimum age requirement for its Heritage Special 1 and 2 products to 60 years. Additionally, the Heritage Special 2 product is now open for joint life applications, making it a viable option for couples.
Maximum Loan Options
For those looking for the highest possible loan amount, the Heritage Special 3 product offers a maximum LTV of 50%. This is particularly beneficial for individuals who require a significant loan amount.
Extension of Heritage Freedom Products
The lender has also expanded its Heritage Freedom products to applicants aged up to 85. This extension means more people in their later years can access these financial solutions.
Flexible Repayment Features
One of the standout features of the Freedom range is the flexibility it offers in repayments. Customers can repay up to 20% or 40% of their loan each year without an Early Repayment Charge (ERC), depending on the product they choose. This flexibility is crucial for those who might receive large sums of money, like an inheritance, and wish to reduce their loan cost.
Regular Repayment Options
The Heritage Freedom range allows up to twelve optional repayments per year. This feature is perfect for customers who want to set up regular monthly payments to mitigate the impact of interest accumulation.
Inclusive Property Value Range
Pure Retirement has set a very accessible minimum property value of £70,000 for these loans, with no maximum property value cap. This wide range ensures that a broad range of homeowners can consider these loan options.
Loan Amounts and Facilities
Loans start from as low as £10,000 and can go up to £800,000. Customers have the option to take these loans as a lump sum or with a drawdown facility, providing further flexibility to suit different financial needs.
A Commitment to Product Development
Chris Buchanan, the head of product at Pure Retirement, emphasised the company’s dedication to continually developing their products. The latest changes are seen as a step to enhance their offerings, making them more inclusive and beneficial for a wider range of customers. These developments are expected to instill more confidence in advisers and contribute to a stronger market in 2024.
In summary, Pure Retirement’s recent enhancements to its heritage range of products mark a significant shift in the lifetime mortgage market, offering more flexibility, higher loan values, and broader accessibility to a wider range of customers.