Anyone know if lifetime mortgages are available in France and if available to 55yr olds?
Hi Sue…
What is a lifetime mortgage…??
I give a link which might be relevant…
No - they were briefly trialled in France but were withdrawn from the market a couple of years ago.
Otherwise know as equity release.
The trick is to outlive the buyer. I think I read somewhere, some time ago, about one elderly lady that was on her third buyer.
A lifetime mortgage is where you have nothing to pay back until after your death where the house is sold, mortgage paid off and remainder from sale goes to your family or you csn pay it off if you sell to relocate
Hi Sue
I read somewhere that the interest can be onerous… do you any information about that… ??
Yes - equity release. Not currently commercialised in France.
I don’t have any information as yet
Then it may well be that you need to read the small print about Interest… if you undertake Prêt Viager Hypothécaire
Nothing to pay? Not even the interest? I can’t see how that would be possible in France where the value of the property would be unlikely to appreciate much when compared to the cost of the compound interest plus the loan. For example a 50% loan on a €150000 house would be a bad risk for any lender as they would have to allow for a life expectancy of at least 35 years.
The link I gave, sets everything out. The homeowner has to keep the property in full good condition throughout… and it is only on death that the Lender takes the property.
The lender must set an interest rate that includes all the costs of the loan or the TAEG (global rate). This rate will be used in case of early repayment or if the heirs want to keep the property.
The lender is free to set his rate. In general, they are quite high.
(and it goes on to say that folk should compare these interest rates with those of a normal loan, which might be a better bet)
il est recommandé de comparer le montant total dû pour un prêt viager hypothécaire avec celui d’un crédit à la consommation classique pour le même capital emprunté.
Are you sure?
Pretty much John but stand to be corrected. Point me to a provider?
No, I’ll take your word for it Simon.
Do you know an English provider for expats living in France ?
This sounds a cracking idea.
So a lending institution buys you a house and you live in it until you move on, either to another property or to the Other Side. While you live there you pay nothing. When you move on the lender sells the property and if they make a profit they give it to you or your heirs. If they make a loss, presumably it is all theirs.
I must have misunderstood something 
but if not, when you find out where to get one please tell me!!!
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the borrower can repay early… but the interest rates are horrendous/high… which is why a classic loan is often preferable…for folk who are not elderly…
On death… the property becomes the property of the Lender… nothing for the Heirs… unless the Heirs pay off the Loan+Full Interest…and claim the property from the Lender
That is how I have understood the link I posted…
Have I mised something… ???
No you have to own your own property without a mortgage and you release the equity but its only for 55yr olds plus
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Yes theres nothing for the heirs unless there is an amount left after the mortgage paid off which will be paid to the heirs
No such thing Sue - UK providers cannot legally take a charge on a property in France. (Even whilst the UK is still in Europe!!)