more 2 life have removed the Early Repayment Charge for bereaved borrowers on their Capital Choice Plan, opening up for more flexibility with the lifetime mortgage product.
In the unfortunate event of the death of a partner, some will decide they want to move house or downsize. With the new features of more 2 life’s plan the remaining spouse can do so within three years without incurring an Early Repayment Charge.
This is the first time more 2 Life has offered such a feature on any of its products which now gives customers more options and the flexibility to downsize or sell their house without worrying about paying added penalties through this difficult time.
Inheritance protection features
With many people asking “Can I still leave an inheritance for my family?” it’s reassuring to know that with some lifetime mortgage plans you have the ability to protect an element of equity as an inheritance for your loved ones. more 2 life have also added a built-in guaranteed inheritance feature allowing borrowers to ring-fence up to 50% of the value of their property for inheritance.
By making the product more flexible for older home owners, lifetime mortgages are becoming even more mainstream for retirement funding. Research carried out last year by more 2 life found that almost two-thirds of advisers believe greater flexibility around early repayment options would boost the popularity of equity release among older homeowners.
Comments on Early Repayment Charge feature
Dave Harris, CEO at more 2 life, comments on the launch of the new options around Early Repayment Charge:
It is great to be able to announce this new feature on our Capital Choice Plan as we continue our commitment to putting customers first and working closely with our intermediary partners to develop products that their clients want. The equity release market saw record levels of growth in 2017. However, it is vital for lenders to drive innovation in the market further to enable more borrowers to access the equity locked in their property.
All the signs are pointing towards equity release becoming a more mainstream approach of accessing cash during retirement. Therefore, it is imperative that older borrowers have a greater range of options available to choose from, which will provide them with the flexibility they require. Lenders must ensure they are continually innovating to both launch new products and enhance their current offerings to include valuable features for clients. At more 2 life, we are constantly looking to expand our own products with added features, and this latest development highlights our commitment to meeting the requirements of clients and intermediaries.
– Dave Harris, CEO at more 2 life.
Independent advice is crucial when choosing the right plan
There are many types of equity release plan to choose from and finding the right one for you and your needs can seem daunting. This is why it’s important to get independent advice from a trusted equity release specialists, like Bower, when considering equity release. Being independent, Bower can search the whole market, including more 2 life and find a plan that’s right for you.