Legal & General Home Finance has launched a retirement interest-only mortgage.

Homeowners with a property value of at least £100,000 aged 55 or over will be able to borrow up to 60 per cent of their property value, paying only the interest each month.

The eligibility assessment will be carried out on the lowest income of any joint application, L&G says.

Legal & General Home Finance chief executive Claire Singleton comments: “There is no longer such a thing as a ‘one size fits all’ retirement, and recent months have shown that plans need to be resilient, but flexible. As such, it’s important that the industry adapts in order to provide a truly diverse range of later life lending options that allow people to make the most of their retirement.

“A RIO mortgage has the benefit of allowing people to use their home to borrow, while helping them anticipate the long-term costs and impact on their income and assets.”

Earlier this year, Moneyfacts released data showing that the number of RIO mortgages available had doubled on the year, putting this growth down to the FCA reclassification of the product type to a mainstream mortgage.