LV=’s lifetime mortgage interest rates have been cut by 20 basis points.
For customers up to 80 years old the interest rate is now 5.79% AER, with those between 81 and 85 years old receiving a rate of 5.99% AER.
| Lifetime mortgage (lump sum) | ||
| Age band | New rate (AER) | Old rate (AER) |
| 60 – 80 | 5.79% | 5.99% |
| 81 – 85 | 5.89% | 6.09% |
| 86 – 95 | 5.99% | 6.19% |
Vanessa Owen, LV=’s head of annuities and equity release, said: “Demand for equity release has risen considerably over the last 12 months, and the majority of advisers predict that it is soon to become a mainstream financial product.
“We believe that the combination of lower rates and our product guarantees, such as defined early repayment charges, makes LV=’s lump sum lifetime mortgage a very strong offering in the market.”