When most people think of lifetime mortgages, they picture releasing equity from a home they already own. But for some homeowners, it’s also possible to use a lifetime mortgage to help buy a new property, typically one you plan to live in for the rest of your life.

This option can be useful if you’re looking to move to a more suitable home in retirement, whether that means downsizing, relocating, or buying a property that’s easier to manage. As with any mortgage, there are things to weigh up before deciding if it’s right for you.

What is a lifetime mortgage in Doncaster?

A lifetime mortgage is a way for homeowners aged 55 or over to release money from their property without selling it. The loan is usually repaid from the sale of the home when you pass away or move into care, and you don’t need to make monthly repayments unless you choose to.

While lifetime mortgages are normally used to release equity from your current home, some lenders allow you to use one to help buy a new property.

Can you use a lifetime mortgage to buy a property?

Yes, some lenders will allow you to use a lifetime mortgage in Doncaster to buy a new home. This is known as a “purchase lifetime mortgage” and is designed for homeowners aged 55 or over who want to move without taking on a traditional repayment mortgage.

Instead of borrowing against a home you already own, the loan is used to help fund the purchase of your new property. You contribute part of the purchase price from your own funds, often from the sale of your current home, and the rest is covered by the lifetime mortgage.

This option can work well if you’re looking to move to a more manageable home, stay closer to family, or buy a property that better suits your needs in retirement. It can offer flexibility without needing to make monthly repayments.

Who might consider this option in Doncaster?

A purchase lifetime mortgage may suit homeowners who are looking to move later in life without taking on a traditional repayment mortgage. It’s often considered by people downsizing, relocating to be nearer family, or moving into a home that’s easier to manage in retirement.

It can also help if you’re selling a property but need a top-up to afford the new one. Rather than using savings or taking out a standard mortgage with monthly repayments, a lifetime mortgage can bridge the gap while keeping costs low month to month.

This type of borrowing is typically aimed at people aged 55 or over who want to stay in their new home for the rest of their life and are not concerned about leaving the full property value to their estate.

What to Think About Before Buying With a Lifetime Mortgage

Using a lifetime mortgage to buy a home is a big decision, and it’s important to understand how it works before going ahead. The loan is secured against your new property, and while you won’t have to make monthly repayments, the interest adds up over time. This means the amount owed will increase, which can reduce how much is left in your estate.

You’ll also need to meet the lender’s criteria. This includes the type of property you want to buy, the amount you plan to borrow, and proof that the new home will be your main residence. Some properties may not be accepted, depending on location, construction, or value.

If you’re relying on the sale of your current home to fund part of the purchase, the timing of both transactions will need to be carefully managed. It’s worth planning ahead to avoid delays or complications.

Buying a home with a lifetime mortgage in Doncaster can offer security and flexibility, but it’s not the right fit for everyone. Looking at how it affects your long-term finances and what alternatives exist is always a useful step before applying.

Lifetime mortgage advice in Doncaster

If you’re thinking about buying a home with a lifetime mortgage, speaking to a mortgage broker in Doncaster like us can help you understand whether it’s the right choice. Not all lenders offer this option, and the rules can vary depending on the property, your age, and the amount you want to borrow.

Our mortgage advisors in Doncaster will guide you through the process, explain the key differences between standard lifetime mortgages and purchase options, and help you find a lender that fits your plans. We’ll also check whether any alternatives might suit you better.

With the right support, you can move home in later life with more confidence and less stress.

Date Last Edited: June 11, 2025