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13/12/2012
Inheritance Windfalls Decline
Recent figures show that fewer parents and grandparents are leaving large sums to their families as they borrow against their homes to pay off debts, address care fees, and make up pension shortfalls.
The figures also showed a continuation of the trend for parents to re-mortgage their already-paid-for homes to help their children with a deposit for their own house purchase.
UK-based financial specialists Remortgage.com note that twenty-year mortgages are now being offered to customers as old as 60, as more people unlock the equity in their homes to pay for long-term necessities rather than leave large cash sums in their wills. With longer life expectancy and more people working past retirement age, the capacity certainly exists to ensure mortgage repayments are made.
"Lenders have certainly been catering for the older re-mortgage market" said Richard Cotton, mortgage specialist from Remortgage.com. "It's not unusual to hear of deals being made for 60-year-old customers, and people are still comfortably making payments at the age of 80."
"It's the ultimate in 'can't take it with you', especially when well-laid plans for the future haven't quite worked out, or if family members need a leg-up onto the property market," said Mr Cotton. "The trend's been there in the past, but now older people appear to be re-mortgaging simply for the peace-of-mind of a financially secure old age.
"Some people think this is a potential time bomb of bad mortgage debt, but as long as both the home owner and the lender are confident they can repay the loan, it's not a great risk."
Mr Cotton continued: "We're now seeing the post-war boom generation reaching retirement age. They're used to security, and they're handing it down to younger generations. Remortgage.com exists to help home owners make the right decision."
(GK)
The figures also showed a continuation of the trend for parents to re-mortgage their already-paid-for homes to help their children with a deposit for their own house purchase.
UK-based financial specialists Remortgage.com note that twenty-year mortgages are now being offered to customers as old as 60, as more people unlock the equity in their homes to pay for long-term necessities rather than leave large cash sums in their wills. With longer life expectancy and more people working past retirement age, the capacity certainly exists to ensure mortgage repayments are made.
"Lenders have certainly been catering for the older re-mortgage market" said Richard Cotton, mortgage specialist from Remortgage.com. "It's not unusual to hear of deals being made for 60-year-old customers, and people are still comfortably making payments at the age of 80."
"It's the ultimate in 'can't take it with you', especially when well-laid plans for the future haven't quite worked out, or if family members need a leg-up onto the property market," said Mr Cotton. "The trend's been there in the past, but now older people appear to be re-mortgaging simply for the peace-of-mind of a financially secure old age.
"Some people think this is a potential time bomb of bad mortgage debt, but as long as both the home owner and the lender are confident they can repay the loan, it's not a great risk."
Mr Cotton continued: "We're now seeing the post-war boom generation reaching retirement age. They're used to security, and they're handing it down to younger generations. Remortgage.com exists to help home owners make the right decision."
(GK)
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400,000 Homes With Planning Permission Still Waiting To Be Built
New research published today reveals there are still nearly 400,000 homes in England which have been given planning permission but haven't yet been built. The study, commissioned by the Local Government Association (LGA) and carried out by Glenigan, shows that there has been little progress made in reducing the bumper backlog over the past year.
400,000 Homes With Planning Permission Still Waiting To Be Built
New research published today reveals there are still nearly 400,000 homes in England which have been given planning permission but haven't yet been built. The study, commissioned by the Local Government Association (LGA) and carried out by Glenigan, shows that there has been little progress made in reducing the bumper backlog over the past year.
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Northern Ireland WeatherToday:After a dry start this morning rain will spread from the northwest across all parts. This afternoon will be dull with some patchy rain and drizzle. Becoming much milder through the afternoon. Maximum temperature 11 °C.Tonight:A cloudy evening and night with a little light rain or drizzle, perhaps some clear periods developing along the east coast. A very mild night everywhere. Minimum temperature 10 °C.
