The increases range from 3% for lifestyle impaired (for example, smokers), to around 20% for heavy health impairment, which would include people with co-morbidity, such as high blood pressure and diabetes.
Comparing Partnership’s new rates against the best standard equity release products, the enhancements can range from around 7% for lifestyle impairments, to 40% for a heavy health impairment. For very severe health impairments Partnership has underwritten cases where the enhancement could be as high as 70%.
Ged Hosty, managing director, equity release, Partnership, said:
“For many clients the main challenge with equity release is raising sufficient funds to meet their needs.
"Our Enhanced Lifetime Mortgage already provides higher loans than standard schemes, but these additional amounts can make a meaningful difference – perhaps £10,000 or £20,000 on a typical property. And with Partnership’s “free to entry” structure, customers won’t have to spend any of the funds raised on a provider’s fees.”
