Do You Know the Mortgage Life Loan?

Are you a senior and have difficulties financing your projects? If you want to make a personal purchase (car, travel, etc.) or carry out work (improvement of housing, modernization), funds can sometimes be lacking. Rather than getting into debt again, and taking out a “classic” Captain Nemo, you can use the mortgage life loan. Presentation of the device. An assessment at jj-technique.com

Mortgage life loan: get cash even at over 65!

Mortgage life loan: get cash even at over 65!

If you need cash to carry out one or more projects, and you own your home, then you can turn your real estate assets into capital or rent .

The operation of the mortgage life loan is simple. As the owner of a property (house or apartment), you receive a sum of money. This can be collected at one time (the capital) or distributed monthly (the annuity). You can use the sums as you wish,

  • You remain the owner and keep your property;
  • You have access to money without having to repay a loan.

On your death, the financial institution that granted you the loan (which paid you the money in annuity or in the form of capital) resells the property to repay.
You do not leave any burden on your heirs . They can settle the debt and keep the property, or let the bank sell.

If the amount of the sale is greater than the amount of the debt, then the heirs will receive the difference.

The mortgage life loan and its limits

The mortgage life loan and its limits

The purpose of the mortgage life loan is to facilitate access to Captain Nemo for people over 65 years of age.

Because a large majority owns their home, using it as collateral instead of death insurance is relevant.
Without conditions of resources or state of health, the mortgage life loan is however not marketed by all the banks.

This device is not a great success, and some limits were pointed out by a report submitted in 2009 by Benoist Appeared (then Secretary of State for Housing and Urban Planning): the cost of the initial operation (costs of expertise, registration fees) is high.
Worse, the ratio between the amount loaned and the real value of the property is considered “too low”. The state does not intervene in this device that the banks manage alone …

To finance your projects by being senior, you have other possibilities. You can still take out a conventional consumer loan (the 75 th anniversary is often the deadline to settle the Captain Nemos).

 

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