55+ Mortgage product summary
What are our current interest rates and early repayment charges?
| 55+ Mortage and 55+ RIO Mortgage | |||||||||||||||||||||||||||
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| 2yr discount | 2yr fixed | 5yr fixed | 10yr fixed | Fixed for Life | |||||||||||||||||||||||
| Current interest rate | |||||||||||||||||||||||||||
| 55+ Mortgage |
1.75% discount off SVR for the first 2 years. Currently 2.95% variable (£995 product fee) APR 4.73% 1.45% discount off SVR for the first 2 years. Currently 3.25% variable (fee free) APR 4.68% |
2.99% fixed (£995 product fee) APR 4.74% 3.30% fixed (fee free) APR 4.69% |
3.40% fixed (£995 product fee) APR 4.56% 3.55% fixed (fee free) APR 4.52% |
N/A |
N/A |
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| 55+ RIO Mortgage |
1.60% discount off SVR for the first 2 years. Currently 3.10% variable (£995 product fee) APR 4.75% 1.35% discount off SVR for the first 2 years. Currently 3.35% variable (fee free) APR 4.70% |
3.20% fixed (£995 product fee) APR 4.76% 3.45% fixed (fee free) APR 4.71% |
3.50% fixed (£995 product fee) APR 4.59% 3.65% fixed (fee free) APR 4.55% |
3.95% fixed (£995 product fee) APR 4.50% 4.15% fixed (fee free) APR 4.53% |
4.35% fixed (£995 product fee) APR 4.58% 4.55% (fee free) APR 4.70% |
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Your payments may change at any time in line with changes to our SVR |
Your payments will not change during the first 2 years |
Your payments will not change during the first 5 years |
Your payments will not change during the first 10 years |
Your payments will not change for the duration of your mortgage term |
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| All product options revert to our current SVR at the end of the discount or fixed rate period. Our Fixed for Life rate remains the same for the duration of the mortgage. | |||||||||||||||||||||||||||
| Current SVR | Our SVR is currently 4.70% variable. | ||||||||||||||||||||||||||
| Representative example |
This example is based on a £90,000 loan over a 20 year term at an initial rate of 3.40% fixed for 5 years. In this case, the product fee has been added to the loan, and the valuation and legal fees have been paid by Hodge Lifetime:
Please refer to our Tariff of Charges to identify any future fees or charges you may incur. |
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| Early repayment charge |
Year 1: 3% Year 2: 3% |
Year 1: 3% Year 2: 3% |
Year 1: 5% Year 2: 4% Year 3: 3% Year 4: 2% Year 5: 1% |
Years 1-4: 5% Year 5: 4% Year 6: 3% Year 7: 2% Year 8: 1% |
Years 1-4: 5% Year 5: 4% Year 6: 3% Year 7: 2% Year 8: 1% |
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| Our 55+ RIO Fixed for Life product offers a Downsizing Protection feature. This feature allows you to be able to move home without any risk of incurring early repayment charges, even if you repay your loan in full. | |||||||||||||||||||||||||||
What are the main features?
| 55+ Mortgage | 55+ RIO Mortgage | |
|---|---|---|
| Mortgage type | Interest-only Mortgage | |
| Loan purpose | House purchase, re-mortgage or raising capital. | |
| Loan term |
Minimum term: 5 years Maximum term: 41 years |
Lifetime |
| Loan repayment | Loan interest is payable on a monthly basis. | |
| You must repay the loan capital at the end of the term using one of the below repayment vehicles. | Loan capital is repaid on death or entry into long term care. Downsizing Protection is available for our 55+ RIO Fixed for Life product (please see our Product Summary for more details). | |
| Acceptable repayment strategies (Applicable to the 55+ mortgage only) |
You are permitted to combine more than 1 repayment strategy. There remains a risk that, if your repayment strategy does not perform in line with your expectations, it may not be sufficient to clear your loan in full. |
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| Affordability assessment |
The loan must be affordable for the entire term. If the loan term extends beyond your retirement date, this means you will need sufficient retirement income to continue to afford the loan. |
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| Minimum age (youngest applicant) |
50 | |
| Maximum age (youngest applicant) |
88 | |
| Minimum property value | £120,000 (require £100,000 minimum equity) | £100,000 |
| Maximum property value |
£3,000,000 outside London £5,000,000 in London and designated high value areas |
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| Maximum loan to value | 70% | |
| Minimum loan | £20,000 | |
| Maximum loan | £1,500,000 | |
| Product fee | Fee free and £995 options available | |
| Overpayments | 10% overpayment allowance available during the initial period | |
| Location | England, Scotland and Wales | |
| Buildings Insurance | You must keep your property insured during the term of the mortgage, but you do not have to buy this insurance through Hodge Lifetime. | |
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
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Find out more about our 55+ Mortgages by downloading the following documents:
