Posted on: 31st Aug, 2009 06:31 am
what is the shared appreciation mortgage
Eseentially you have a greemtn with the lender to share the equity in the house and the lender agrees to give you a loan at a lower interest rate
Shared Appreciation Mortgage(SAM) is a type of home reversion scheme on the market. The main feature of a SAM is its simplicity. Typically the bank will advance you 25% of the value of your property, interest free in exchange for 75% of the appreciation of the property when you either sell or die.
Thank you Catharian that was more detailed.