Objective
The introducing broker needed assistance for their retired clients, aged 68 and 65, to leverage the equity in their mortgage-free home to invest in a company, aiming to generate passive income during retirement.
Obstacle
Many lenders impose age restrictions, typically ending mortgage terms at age 70, and do not allow capital raising for business purposes. Additionally, the property had an annexe on the title which complicates finding suitable security.
Outcome
Despite the challenges, Brightstar successfully secured a £300k loan against their £2.5m property, utilizing their state and private pensions as income. Opting for a 16-year mortgage, extending to the eldest applicants age of 84 at terms’ end, we navigated the lender’s acceptance of annexes for both personal and letting, ensuring a satisfactory valuation report.
The case was completed within a month from application, enabling the clients to make their investment in plenty of time.
Subject to status. Product and criteria availability is subject to change or withdrawal at any time. For intermediaries only.
