In the eighties until 2009, an interest-only mortgage was a popular option. Now, however, many of these mortgages are coming to the end of their term and money must be found to pay off the original capital sum borrowed. So, what should you do if you have an interest-only mortgage? Firstly, you need to [...]
More and more people over the age of fifty-five, are using their home as a cash machine as interest rates continue to fall on Equity Release plans. The rates have tumbled from around 8% four years ago, to fixed rates below 3% today. How can you turn your home into a cash machine? According [...]
Could RIOs be a solution for borrowing into retirement? The number of mortgage companies offering “Retirement Interest Only mortgages” (RIOs) seems to be increasing month by month. Figures from the financial researchers “Moneyfacts” show that there were only five providers in July last year, but now we are up to thirty-eight. This trend is expected [...]
The Financial Conduct Authority (FCA) who regulates the mortgage market in the United Kingdom have launched proposals to create a market for interest-only mortgages for the retired. Also referred to retirement mortgages. They have approached the mortgage industry to look at solutions for interest-only mortgages that last until you die. What are the FCA’s [...]
Homeowners who have relied on interest-only mortgages are increasingly being forced to sell up before their repayment term is reached. The number of people having to sell their home and downsize is increasing. Estate agents are reporting that forty-three per cent of customers are forced to sell their home to pay off interest-only mortgages. Mortgage debt issues [...]
