A family member is about to avail of a lifetime mortgage from Spry Finance. In short that type of return on investment would suit my retirement savings profile so I am happy to lend to them on same T&C as Spry. (6.5% compounded monthly) and they only re-pay the debt when they cease to live in the house.
The borrower will get a slightly cheaper deal as I won't charge arrangement fees etc and have agreed no early repayment charges etc. I can also provide the funds quicker than Spry and that is an issue for the borrower
I have covered off the CA tax implications as the loan balance is below 335k (and will be for 25 years even when compounded up).
Is there anything else that people can think to be aware of?
In particular I will want the charge/mortgage to be registered against the property, can anybody recommend a cost effective way of doing that?
The borrower will get a slightly cheaper deal as I won't charge arrangement fees etc and have agreed no early repayment charges etc. I can also provide the funds quicker than Spry and that is an issue for the borrower
I have covered off the CA tax implications as the loan balance is below 335k (and will be for 25 years even when compounded up).
Is there anything else that people can think to be aware of?
In particular I will want the charge/mortgage to be registered against the property, can anybody recommend a cost effective way of doing that?