Equity release lender ups its LTVs

Tuesday 14th February 2012

Enhanced equity release specialist Partnership has announced an increase in its LTV rates for the enhanced lifetime mortgage.

The increases range from 3% for lifestyle impaired (for example, smokers) to around 20% for heavy health impairment, which would include people with co-morbidity such as high blood pressure and diabetes.

Comparing Partnership’s new rates against other equity release products, the firm says enhancements can range from around 7% for lifestyle impairments to 40% for a heavy health impairment. For very severe health impairments, Partnership has underwritten cases where the enhancement could be as high as 70%.

Ged Hosty, equity release managing director at Partnership, said: “For many clients the main challenge with equity release is raising sufficient funds to meet their needs. 

“Our enhanced lifetime mortgage already provides higher loans than standard schemes, but these additional amounts can make a meaningful difference – perhaps £10,000 or £20,000 on a typical property.”