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Simplifying Asset-Splitting in a Divorce Settlement
Divorce in later life can significantly impact personal finances - especially for women, who are statistically known to have lower savings and pension investments.
2 minutes

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The client
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Claire & George Ravenclaw* / Divorced / Both aged 73 / Retired
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Current house value: £375,000
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Requires: £140,000
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Maximum loan-to-value: 39% for a single applicant, lump sum
Claire's Story
Divorce in later life can significantly impact personal finances - especially for women, who are statistically known to have lower savings and pension investments. Splitting assets and wealth can be stressful during divorce, with many parties involved.
Claire wishes to stay in the marital home, and her ex-husband, George has agreed to move out and buy a new home. They have agreed on splitting the value of the home 50:50 and have a joint savings account containing £100,000.
Using Equity Release To Split Assets
There are three solicitors involved in the transaction, the two divorce lawyers and the specialist equity release solicitor. With the increased legal costs, Claire opts to use some of the equity released to pay the legal fees. George agrees to a settlement of £187,500, and Claire accesses £140,000 through a lifetime mortgage at a loan-to-value of 39%. She uses her 50% of the joint savings to pay George the remainder of the balance.
Claire can remain in the property, and George can now access his own financial options and buy himself a property.
Claire is advised to take a Pure Retirement Classic lifetime mortgage.
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Claire submits a single application and releases 39% of her property’s value.
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She releases a lump sum of £140,000. George receives £97,500 of the shared savings as part of the settlement.
Managing Her Lifetime Mortgage with MyPure
Claire can manage her lifetime mortgage online through the account management platform, MyPure.
She can make one-off optional repayments, view her balance and recent transactions, and submit any queries she has directly to Pure Retirement to receive support along her lifetime mortgage journey.
*Client names have been changed to provide anonymity. We cannot give any assurances that applications outside our lending criteria will be approved.
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