The Brexit effect? Lifetime mortgage interest rates at record low

26th October 2016

People have been looking out for significant financial changes in the wake of Brexit - now Legal & General offers one of the first clear examples.

We have all been wondering how, if at all, Brexit might affect the financial markets, products and rates; now, it seems, the first real movements are beginning to appear. Legal & General’s interest rate on their flexible lifetime mortgage is now 3.71%, whilst the interest for standard variable rates (SVRs) on residential mortgages were 4.27% in September.

This means that customers taking out a flexible lifetime mortgage now on a loan of £100,000 could owe £40,901 less after 15 years (compared with those taken out in April at 5.19%) - surely encouragement to change to the lifetime mortgage.

Independently of Legal & General’s revelations, the Equity Release Council has stated that, even before the latest reductions, lifetime mortgage rates were falling more quickly than those for any other lending product during the first half of 2016.

The conclusion we can draw is that there are significant savings to be made by choosing or switching to the right product. Please contact me today for a detailed, confidential and without-obligation discussion, if you think that you could take advantage of these changes.

Why not get in touch and see how we can help?

Equity release is the answer to so many financial questions. If you would like to know more about it, and see if it could be the right move for you, please book an appointment or request a call-back