Emergency workers to get access to mortgage scheme
Police, firefighters and prison officers are to get access to a government mortgage scheme after previously being frozen out due to their retirement ages.
The mortgage guarantee programme was launched in October 2022 with first-time mortgages guaranteed partially for up to a decade by the Government, interest rates as low as 5 per cent and down payments halved to 10 per cent.
Jaché Adams, the Junior Minister of Finance, told the House of Assembly on Friday that so far 52 individuals and families had taken advantage of the scheme.
“It is also worth noting that, to date, all mortgages under this programme are current and in good standing,” he added.
However, he said there were specific challenges for what he termed special group services, which included police officers, firefighters and prison officers.
“It has been brought to our attention that due to their earlier retirement age, these individuals often faced difficulties qualifying for the programme.”
He said that after talks with the Bermuda Commercial Bank, which gives the mortgages, effective January 1, public officers in those groups can have their retirement age considered as 65.
It will be subject to the individual’s ability and willingness to work beyond their profession's standard retirement age and the bank’s standard lending criteria.
Mr Adams said last year, the Government amended legislation to eliminate stamp duty on mortgage transfers for amounts under $1 million.
“Building on that initiative, I, along with the Ministry of Finance, recently met with the heads of HSBC, BCB, Butterfield, and Clarien.
“I am pleased to report that each of these banks have affirmed their willingness to include legal and closing costs within the loan when transferring a mortgage, subject to the respective bank’s approval.
“This means Bermudians can transfer their mortgage to another bank without incurring any Stamp Duty and without paying out of pocket for legal and other associated costs.”
• For the junior minister’s full statement, see Related Media
Need to
Know
2. Please respect the use of this community forum and its users.
3. Any poster that insults, threatens or verbally abuses another member, uses defamatory language, or deliberately disrupts discussions will be banned.
4. Users who violate the Terms of Service or any commenting rules will be banned.
5. Please stay on topic. "Trolling" to incite emotional responses and disrupt conversations will be deleted.
6. To understand further what is and isn't allowed and the actions we may take, please read our Terms of Service
