Pension Backed Mortgage

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Description / Purpose A unique product that allows an employee to use a portion of his/her accumulated retirement income (specifically, Tier 3) to secure a mortgage for the purchase, complete or improve their residential properties.
Target Group

All income earners (Individuals & Businesses) who have

contributed to the tier 3 Scheme for at least two (2) years.
Max Loan 100% of property price.
Equity / Down payment 100% mortgage allowed if qualified
Max Term GHS = 20 years
DSR GHS = 50%
Joint Application Allowed with Siblings, Spouse, Parent or Children
Security / Collateral
  • Mortgage over residential property to be purchased
  • Mortgage Life and Hazard insurance
  • Lien on current and future Tier 3 Contributions
Benefits
  • Opportunity to own a property at relatively low rates
  • 100% financing
  • Appreciation in property value
  • Benefit for tax exemption when the Tier 3 is withdrawn for mortgage principal reduction
  • Tax Incentive Savings
Partner Trustees
  • Republic Trust Limited
  • Petra Trust Limited
  • Enterprise Trustees
  • Shield Pensions Trust