Flexible home improvement loan
Update 29 November 2023: Unfortunately new flexible loans are unavailable until further notice.
Flexible home improvement loans can help older homeowners pay for major repairs to their homes.
We have worked with a number of other local authorities to make these government funded loans available to homeowners aged 60 or over so that a range of eligible improvements can be undertaken.
These loans are a form of equity release mortgage. They are flexible because they can be repaid at any point, without penalty, with either regular or occasional payments. But they do not have to be repaid until the home is sold or the owner ceases to occupy it.
Interest is charged, but at a low rate linked to the Bank of England rate. The minimum interest rate is 3.5 percent and the maximum is 7 percent.
In some cases we may need a valuation of your home to confirm the equity is sufficient to cover the loan, but this is unlikely to be necessary in most cases.
There is a one off fee of £80 to £120 depending on the size of the loan, which includes Land Registry costs, administration and legal fees. This can be added to the loan or paid at the beginning of the loan.
There is also an annual charge of £15 for loan administration and annual statement. This will be added to the loan annually.
Improvements could include:
- essential repairs and maintenance
- central heating or improvements to heating
- replacement doors and windows
- insulation
- replacement bathroom suites and kitchens
- rewiring
- burglar alarms and home security
- replacement guttering, soffits and cladding
- damp and rot treatment
- stairlifts, level access showers and other disabled adaptations
Or any other work that is needed for you to be warm and safe in your home.
Contact us if you think a flexible home improvement loan may help you or someone you know.