Legal & General has launched a Retirement Interest-Only mortgage.
The mortgage is designed for those aged 55 and over with a minimum property value of £100,000. Homeowners can borrow up to 60% of the value of their homes.
It can be used to replace an existing interest-only mortgage or as a new interest-only mortgage.
Claire Singleton, chief executive of Legal & General Home Finance, said: “There is no longer such a thing as a ‘one size fits all’ retirement, and recent months have shown that plans need to be resilient, but flexible.
“As such, it’s important that the industry adapts in order to provide a truly diverse range of later life lending options that allow people to make the most of their retirement.
“A Retirement Interest-Only mortgage has the benefit of allowing people to use their home to borrow, while helping them anticipate the long-term costs and impact on their income and assets.
“We know that for many people, their home is both the hub of their family life and one of their most valuable possesions.
“We want to give people a variety of options to access money from their homes, without having to move.”
This post has originally been featured in Property Wire.