Pension Mortgage

With a pension mortgage, a lump sum from the pension is used to repay the mortgage when the pension matures.  During the course of the mortgage you make monthly repayments that cover both the interest payable on the mortgage, and the investment required to build up an adequate pension.

The real benefit of a pension mortgage is that you receive tax relief on both the mortgage interest payments and on your contributions to the pension fund.

This can be the most tax efficient mortgage for suitable borrowers.