Mortgage in Retirement

Mortgage in retirement or re-mortgage can be difficult as many existing lenders will not or cannot help. Lenders have an age limit for taking out a mortgage and for finishing a mortgage this linked to tougher affordability calculations makes it more difficult for anyone over the age of 60 to get a mortgage.

This is difficult to understand when you have a good credit history, equity in your property and in many cases have a good record in paying your current or previous mortgage!

You might have a current mortgage that is shortly coming to an end with no repayment vehicle in place or you might want to extend the term of your mortgage to save on monthly outgoings or are  even facing a shortfall due to an under-performing investment policy.

Mortgage in retirement might suit applicants who do not wish to consider lifetime mortgages or equity release, either because they are looking for a capital repayment mortgage or plan to pay the loan back in the future by non traditional means such as:

  • Selling and moving to a smaller property 
  • Inheritance
  • Investments
  • Lump sum capital repayments
  • Sale of another property

 

What to consider before you apply

As an older borrower, your three primary considerations should always be:

• The value of your property
• The amount that you wish to borrow
• The amount you can afford to repay each month.

Income from investments will help to bolster your monthly funding. A larger income could also increase the chances of borrowing a higher percentage of the property.

The good news is we have access to several lenders who will allow you to take out a mortgage or re-mortgage up to aged 85 and a term up to aged 105 either interest only or repayment, subject to status.

Use our contact us page or give us a call on 0117 9596503

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