'They have been frightened off home income schemes by the investment-based plans which have gone so horribly wrong.'
Mr Hinton recommends schemes that fix the rate of interest paid on the mortgage and the interest paid on the annuity. A 75-year-old woman who takes out the maximum viable loan of pounds 30,000 - the limit for tax relief - would get an income of pounds 1,487 after tax or pounds 1,830 for non-taxpayers.
'Roll-up or investment-based schemes are finished. But in the long term, the market for getting an income out of property for the elderly will expand because there is a demand for it.'
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