Mr and Mrs J, aged 75 and 71 respectively, were looking to move from Norfolk to Bedfordshire to be closer to their family.
They had agreed the sale of their bungalow in North Norfolk and had an offer accepted on a property. Following a recent move back to the UK from abroad during the economic downturn, it had been necessary for Mr and Mrs J to take out a mortgage to make up for the significant drop in the value of their foreign property. Due to this mortgage, they owed £88,000, which they were looking to port to the new property.
Mr and Mrs J had spoken to the in-house adviser at the estate agency and expected to be able to port the deal. However, when it came to making the application, their existing lender advised that their policy had changed: customers were no longer able to port their existing mortgages unless they met the current lending policy of mortgage terms that run no later than the oldest client’s 75th birthday.
This clearly presented a problem due to their age.
The adviser recommended that Mr and Mrs J speak to a Compass mortgage adviser, as they are qualified in both conventional mortgages and equity release. We met with Mr and Mrs J and discussed the options available. Although equity release was considered, it was desirable for them to be able to make the payments and own the property outright at the end of the term, particularly considering that they both have a good pension income.
Our mortgage adviser researched the market and obtained an agreement in principle for Mr and Mrs J from a small building society. They were able to borrow the amount they needed over a 12-year term on a repayment basis and they completed their move in June.
Mr and Mrs J have commented, “Compass has an excellent mortgage adviser. All services were carried out perfectly.”