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Mansfield Building Society Later Life Mortgage Rates & Details

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Compare Deals Retirement Mortgage Later Life Mortgage

Later Life Mortgage

  • Type Fixed
  • Rate 2.79%
  • APR 5.60%
Incentives:
  • Free Valuation
  • Legal Fees Contribution
Offers:
  • Fixed & Discounted Rates
  • Interest-Only or Capital & Repayment
  • 2-Yr Early Repayment Charges

Background

The Mansfield Building Society was originally formed as the North Nottinghamshire Permanent Benefit Building Society in 1870. The Mansfield continue to serve its members and community as an independent, mutual building society. The Society headquarters are still based in Mansfield, thus retaining its heritage and has now grown to achieve assets exceeding £400m.

Mansfield aim to provide a friendly service to customers with savings and helping to buy their home. Their transparent range of mortgage solutions include a focus on family lending with its first time buyer and Family Assist mortgage range. The Mansfield Building Society also provide later life lending solutions to customers wishing to take a mortgage upto age 85 via its residential mortgage range, and also Retirement Interest Only Mortgages (RIO's) with no end term.

Eligibility

The Mansfield Building Society Later Life Residential Mortgage (RIO) is available to homeowners who with to take their mortgage term beyond the standard maximum age of 70 years. Where such application arise, the Mansfield will permit the mortgage to be repaid between the ages of 70 and 85.

In such instances, affordability of the mortgage will be assessed on an individual sole survivor basis and individual underwriter discretion will apply. Independent legal advice and a Lasting Power of Attorney may be recommended, or required as a condition of the offer. This Later Life Residential mortgage could be used as a remortgage vehicle or to assist with a house purchase.

Mansfield Building Society have a sensible approach to lending in retirement whereby on joint applications they will assess each applicant individually in order they could sustain the mortgage solely throughout the term, should their partner pre-decease them.

The Mansfield RIO Mortgage is available on both a single and joint life basis with a minimum age being dependent upon the term selected.

The minimum borrowing on this residentail mortgage is £25,000 with a maximum of loan upto £500,000. For mortgage applications above £500,000 please call the Equity Release Supermarket team on Freephone - 0800 802 1051 to check qualification and request your bespoke quotation.

There is no specific minimum acceptable level of income, with each loan being individually underwritten to establish eligibility.

Eligible income for homeowners in retirement accceptable to Mansfield will be mainly pension income, however consideration may go to investment and rental income. Standard income verification is required if the borrower(s) is still in employment or self-employment plus evidence of stable retirement income e.g. pension or self-employment income.

Independent legal advice will be required for the borrower(s) and the mortgage advice must be provided by a CeRER or CertER Equity Release Qualified adviser.

Mansfield's minimum property valuation on their retirement mortgage is £50,000 and the property must be the homeowner's main residence and must be located within England and Wales. Please contact the Equity Release Supermarket team on 0800 802 1051 to check for eligibility.

Features

This Mansfield Later Life Mortgage provides an initial tax-free lump sum cash release for immediate use, with the ability to make monthly repayments of either interest-only or capital and interest back to the Mansfield Buidling Society.

Interest-Only repayment strategies can include savings and investments; pension lump sums; stocks and shares, or a stocks and shares ISA/NISA; the sale of other UK property; and property downsizing, subject to a minimum equity of £150,000 which is sufficient to provide a reasonable quality home in the locality.

The maximum loan-to-value (LTV) on this later life mortgage for borrowers looking to repay between the ages of 70 and 85 is 70% of the property value.

The minimum mortgage term is 5 years and the maximum term is 35 years.

This is a residential mortgage which means that there are no safeguards if something unexpected arises which prevents the homeowner being able to continue making payments. So, to make use of this product, homeowners must be confident that their income will stay sufficient and constant enough to meet their payment obligations.

The homeowner must make all monthly interest &/or capital repayments as they fall due until the mortgage terms ends. This means that the homeowner could put their home at risk if they do not keep up with payments on this mortgage.

If a single applicant passes away before the end of the term, the mortgage will still have to be repaid, usually by sale of the property. On joint applications, the mortgage will continue in the name of the survivor, with payments still being mandatory.

The Mansfield Building Society 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.

There are 3-year early repayment charges (ERC’s) charged at 3% of the agreed advance on this discounted rate product.

Options

This Mansfield residential Later Life mortgage enables homeowner(s) to spend their tax-free cash as they wish, but unlike roll-up equity release schemes also have the ability to make monthly interest-only &/or or capital repayments to control the future balance.

Mansfield will accept applications which are based on retirees house purchasing, remortgage business and on unencumbered properties.

The mortgage can also be transferred to a new home as long as there is adequate security for the mortgage and £150,000 minimum equity remaining.

The Mansfield RIO mortgage usually has fixed and discounted rates within its product range. However they are subject to change, hence contact the Equity Release Supermarket team on Freephone 0800 802 1051 for all the latest interest rates on offer.

Once a specific deal ends, it will revert to the lenders standard variable rate, unless another deal is selected before or at expiry.

Practicalities

The Mansfield Later Life Mortgage is ideal for any homeowner(s) who wishes to only make monthly interest &/or capital repayments over their lifetime and happy to provide proof of affordability.

If the mortgage is run on an interest-only basis it will ensure the balance will always remaining the same as it started, assuming repayments are maintained. This strategy is ideal for those looking to protect and maximise their inheritance, or looking to retain as much capital as possible for taking equity release at a later date.

This Mansfield mortgage in retirement is ideally suited for those looking for an interest-only mortgage, have considered, but decided not to downsize at this stage, but remain in their home.

Mortgages than run into retirement can prove useful for homeowners who aren’t quite ready for equity release yet, and would prefer to take themselves to a point in the future when they feel they are a better age, or wish to stop making repayments.

Alternatively, where homeowners can’t get a mainstream mortgage, or even where an interest-only mortgage needs repayment, the Mansfield Later Life mortgage can provide an excellent remortgage solution.

*Free basic valuation
**the rate quoted above is a 2-year fixed rate later life mortgage deal
***For remortgages only – free legal fees via Mansfield's nominated solicitor

To obtain further information or to request a quotation on the Mansfield Residential Later Life Mortgage, please contact the Equity Release Supermarket team on Freephone 0800 802 1051.

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