The Marsden Building Society shares a mutual status with its members for whom it has been providing savings & mortgages for over 155 years. All six branches are based in the north-west and aim to follow the Marsden’s philosophy of providing a personal and conversational approach to providing its financial services.
The Marsden provides a range of mortgage products, with a specialist ‘lending to retired’ mortgage products. Marsden do not consider lending to retirees an issue as long as they are in receipt of pension income, allowing elderly homeowners availability to a pensioner mortgage on their home.
The Marsden Retirement Mortgage is designed specifically for homeowners who are retired and requiring access to the equity in their property to enable them enhance their lifestyle in retirement. Marsden have a sensible approach to lending in retirement by using an income multiplier and affordability calculator as their measure to borrowing limits.
Eligible income for homeowners that is acceptable to Marsden Building Society is only pension income which must be evidenced, along with investment or rental income if this can be evidenced with annual statements or SA302’s.
Affordability is measured using an income multiplier of 4.5x single or joint incomes. This is then stress tested at 8.5% as an affordability measure by Marsden’s underwriters. The minimum acceptable income level is £20,000 which is based on either single or joint applications.
Marsden’s minimum property valuation on their retirement mortgage is £125,000 and the property must be the homeowner’s main residence and should be situated within England and Wales only.
Marsden’s Retirement Mortgage is available on both a single and joint life basis with a minimum age of youngest homeowner being 55 and there is no maximum age.
The minimum loan on this pensioner mortgage is £30,000 with a maximum of upto £750,000 upon referral. Please call the Equity Release Supermarket team on 0800 678 5955
for your personalised Key Facts Illustration.
A source of stable retirement income is necessary in order to prove affordability and therefore eligibility towards this monthly repayment Marsden ‘lending to the retired’ mortgage.
This Marsden Retirement Mortgage scheme provides an initial tax-free lump sum cash release for immediate use,with the ability to make monthly repayments of only interest, or capital & interest, back the Marsden as part of this retirement mortgages T&C’s.
The Marsden mortgage in retirement has access to various discounted rate loans within Marsden’s product range. The rate quoted above is a 2 year discount and applies to both capital & interest, and interest only mortgages and discounted until 29.02.2020. Further options exist for 3 year discount and 2 year fixed rates.
The maximum loan-to-value depends on whether interest only or a repayment basis is selected. Any interest only mortgage has a maximum loan-to-value (LTV) lending limit of 60% of the property valuation, whilst for repayment mortgages the maximum LTV is now 70%.
Marsden aren’t members of the Equity Release Council and consequently their plans don’t have the code of conduct applicable like other equity release schemes such as the no negative equity guarantee.
The Marsden will require proof of all forms of income. As this is an interest only lifetime mortgage, then Marsden will also require evidence of affordability of the monthly payments selected in retirement. This will be pension income &/or investment income for each applicant.
All ‘lending to the retired’ mortgage products come with a free valuation upto £500,000 and a fee assisted remortgage package including free legals.
This Marsden Retirement Mortgage enables any homeowner to spend their tax-free cash as they wish, but unlike roll-up equity release schemes also having the option of making monthly repayments to control the future balance as they think fit.
Marsden will accept applications which are based on retirees house purchasing, remortgage business and on unencumbered properties.
To obtain further information, or to request a quotation on the Marsden Retirement Mortgage, please contact the Equity Release Supermarket team on 0800 678 5955