More2life, an equity release lender, has published a new guide to help advisers save time on understanding “unusual offer conditions”.
The lender said if unprepared, advisers can face an average timescale from offer to completion of 47 days. In some cases, this means the transaction can take longer than the offer period.
This 47-day average, the lender said, is “more than double” the time it takes to complete a more common case with a redeem charge, which takes 22 days.
One example of a more complicated case would be one where a property has a septic tank, where the client’s solicitors have to produce evidence for draining, installation and servicing compliance to the equity release lender.
The guide, which will be sent to advisers directly as well as available via More2life’s website, is intended to reduce “costly delays” to clients.
The full list of unusual offer conditions includes:
- Building reinstatement insurance
- Estate charges
- Flood insurance
- ID, age, residency
- IVA [individual voluntary arrangement] charges and restrictions
- Redemption of existing mortgages/loans secured on the property
- Septic tank and sewage treatment plants
- Service charges
- Six month’s bank statements
- Solar panels
More2life’s manufacturing and adviser proposition managing director, Les Pick, said advisers cannot always predict every nuance of an application for their clients.
“We hope this concise factsheet can guide advisers how to best serve their clients and offers support during this particularly turbulent economic period,” Pick continued.
“It reflects our commitment to provide educational tools and materials so that advisers can continue to provide excellent service for their clients even when things are challenging.”
Part of Key Group, More2life’s total loans under management were around £5bn last year.
ruby.hinchliffe@ft.com
