We know the mortgage market has changed over the last decade. First time buyers are two years older at an average of 33, we’re seeing the end of tax relief for buy to lets and there have been numerous government incentives to convert generation rent into owner occupiers.
Let’s face it, mortgage customers look and behave differently. We’ve consistently heard about the ageing population, and increasing life expectancy, which is seeing mortgage applicants edge into “older borrower” territory.
This could be as a result of an outstanding mortgage debt, or, as we are commonly seeing, homeowners seeking to remortgage in order to capitalise on the equity of their home, and free up cash to support their children or grandchildren onto the property ladder.
A 2017 report predicted that parents will lend more than £6.5bn in 2017 to help their children buy a home, a 30% increase on the previous year.
How we can help?
Our experts make our lending decisions – not computers. Because we manually underwrite all of our cases we can take a commonsense approach to lending, and don’t have a maximum age limit. We’d rather focus on their ability to repay their mortgage, than what age they happen to be!
Here’s what we can do for your retired clients:
- No maximum age limit
- 25 to 40 year max term (dependent on age and loan type)
- Interest only up to 50% LTV (sale and downsize acceptable repayment strategy, min equity £150k)
- 100% of pension income accepted, investment income considered
- Retirement affordability calculator to do the number crunching so you don’t have to
And for your clients still working and looking to borrow into retirement, we accept:
- Employed income to age 70 or declared pension age if lower
- Self employed non-manual income to age 75
We know there are many reasons why your clients may be looking for a mortgage. Whether it is a simple purchase or remortgage, capital raising to help children and grandchildren onto the property ladder, or perhaps a self build project – we’ve seen it before, and we know what we’re doing.
It’s all part of our ‘mortgage misfit’ initiative, which seeks to give options to borrowers who may find themselves shut out of the mortgage market due to the automated decision making of some larger lenders – often, rigid and inflexible when it comes to real people and real life situations.
Get in touch
We are delighted to work with intermediaries through the Right Mortgage network. Our products are available to all appointed representatives, plus DA’s based in Suffolk, Norfolk, Essex, Cambridgeshire, Bedfordshire, Hertfordshire and Buckinghamshire.
We’d love to speak to you. Give us a ring on 0330 123 1073 – our experienced Business Development team are waiting for your call. Don’t forget you can submit your cases to us online by registering with our panel.
