Property Condition and Lifetime Mortgages

In the world of later life lending, property condition plays a significant role – not only in terms of the application, but also in terms of upkeep over the duration of the lifetime mortgage itself.

Property condition and valuations

As part of the lifetime mortgage process, the valuer will conduct an inspection of the property and grounds, to assess various aspects that may affect your property’s value or suitability. This includes its condition and whether there are any concerns such as with structural stability.

It’s important that you ensure all rooms are fully accessible and that keys are available for the valuer to easily gain access to the side or rear of the property, as well as to any garages or permanent outbuildings. Depending on the lender’s requirements the valuer may also need to look in the roof void.

Preparing for valuation

Cluttered rooms can often be the main barrier to the application progressing, as it prevents the valuer from accurately gauging the true condition of the property.

Clutter is tricky as it’s subjective, and what looks fine to you might raise red flags for a valuer. One way to mitigate against the risk of the application being declined might be to provide up to date pictures to your adviser in the event that your conversations are done remotely rather than in person.

It’s important to support your adviser in establishing the state of play ahead of valuation, as it can be frustrating to all parties to have a lifetime mortgage application submitted and a valuation instructed, only for the valuation not being able to take place owing to the valuer being incapable of accurately judging the property condition.

Why continued property maintenance matters

It’s important to remember that you’ve a duty of property upkeep once your lifetime mortgage has completed, in line with the terms and conditions. This is crucial not only from the perspective of selling the property when it’s time to redeem the mortgage, but also if there’s a need for you to apply for further borrowing in the future.

Post-completion property upkeep expectations include:

• Maintaining gardens and outdoor spaces

• Keeping the property clean, hygienic, and void of clutter to avoid potential damp issues

• Maintaining external guttering and downpipes

• Maintaining fixtures and fittings

• Not making major alterations to the property without consent

By keeping your home in good condition and supporting the valuation process, you’ll help ensure your application runs smoothly and your property retains its value for years to come.

Learn more about preparing for a lifetime mortgage application and a lifetime mortgage valuation in our application blog series.