Mortgages for Pensioners
If you are retired and want to buy a home using a mortgage, you could face extra barriers when it comes to proving you can afford to make the mortgage repayments. Mortgage providers can be hesitant to lend to retired people without the reassurance of a steady income from employment.
Most mortgage providers set an upper age limit for taking out one of their mortgages, which is usually between 65 and 70. They will also normally specify an age by which the mortgage has to be repaid. This can automatically exclude pensioners from many common mortgages.
However there are a number of lenders who have much higher age limits, or none, so no matter you are you may still be able to get a mortgage if your meet lenders’ other criteria. We can help you find the best mortgage options for you, no matter your age.
Our pensioner mortgage service
Our team of highly experienced mortgage brokers work with borrowers of all ages, including pensioners, to offer you:
- Whole of market access – we have links with all the top mortgage lenders
- Market-leading mortgage rates – see all the top mortgage deals currently available
- Exclusive deals not available on high street – including from private banks and lenders
- Fast turnaround - speak to us today if you need to move quickly
- Mortgages for bad credit – we have contacts with lenders willing to consider borrowers with previous defaults and missed payments
- Mortgage for complex situations – including for ex-pats and foreign nationals
- Extra borrowing on top of your mortgage – additional secured loan options, including bridging finance
To investigate your mortgage options, try our free mortgage calculator or get in touch with our experienced mortgage brokers.
Proving your pension income
Just like any other mortgage, you will be required to demonstrate that you have adequate means to repay your mortgage loan. If you are a pensioner, this will likely come not from your salary, but from pensions, investments and savings.
While some lenders will not be willing to consider income, other than from employment, there are a number of specialist and private lenders with more flexible criteria. These types of lenders are normally only accessible through professional intermediaries, such as mortgage brokers.
Equity Release Schemes for pensioners
If you are pensioner a mortgage may not be your only option to consider if you want to raise cash without leaving your current property. Equity release mortgages could let you unlock the value in your property. Releasing equity from your home could provide an option for pensioners who want to gain access to an extra income stream.
There are two equity release mortgage formats:
Lifetime mortgages - Repaid from the sale of your home which will usually occur either when you pass away or move into residential care. The amount you can borrow will depend on your age (and your partner’s age, if applicable)
Home Reversion Schemes - Involves selling your property to a reversion company. You therefore no longer own your home but live there as a tenant. The reversion company will sell your home when you pass away or move into residential care.
Find the best mortgages for pensioners
Looking for the best interest rates on mortgages for pensioners? Our free mortgage calculator allows you to quickly and easily compare leading deals from across the market, so you can find the most appropriate borrowing for your needs.
For more personal mortgage advice, call Fair Mortgages today on 0117 403 4474 or fill in our call back form on the right hand side of the page.