It also adds an interest-only option
Digital mortgage lender Perenna has introduced a flexible long-term fixed rate retirement interest-only (RIO) mortgage designed specifically for borrowers aged over 50.
The RIO mortgage allows for a maximum loan-to-value (LTV) of 60% with rates starting from 5.84%.
In addition to the RIO mortgage, Perenna has expanded its product line to include an interest-only option, available for both purchase and remortgage customers, with a maximum LTV ratio of 75%.
The move follows Perenna’s launch of its long-term fixed rate repayment mortgage. The repayment mortgage, Perenna said, offers increased affordability by eliminating reversion stress tests, stability through a fixed rate for the entire term, and flexibility with early repayment charges capped at five years.
“Our RIO is a game changer for brokers and borrowers alike,” commented Colin Bell (pictured), co-founder and chief operating officer at Perenna. “Those aged over 50 have narrow options when it comes to mortgage products. With our market leading long-term fixed rate RIO, we provide a great choice for those in or approaching retirement, with ERC for only five years putting you in control.”
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