Don’t spin the wheel of affordability: how to get the win for your later life clients.
By Andrew Sadler, Key Account Manager, Suffolk Building Society.
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Getting your case approved can often seem like a game of chance, but not at the Suffolk. Our expert underwriters look at each case individually and we’ve got 5 ways to help get your clients over the finish line.
5. 100% of pension income and 75% of investment income accepted
4. For uncrystallised drawdowns and SIPPs, we’ll take 80% of the fund value that isn’t being drawn, divide it by the mortgage term and use the resulting figure as gross income.
3. If the mortgage is interest only, affordability will be calculated on an interest only basis (there must be a suitable repayment vehicle in place to repay at the end of term).
2. Retirement ONS data used, taking into account reduced expenditure levels.
1.Loans available up to 75% LTV for lending into retirement or 70% for those already in retirement.
Game on!
We don’t operate separate products or dual pricing, so older borrowers can apply for any of our main range deals. And we know the reasons for taking a residential mortgage in later life are multiple – it’s not just about swapping an existing mortgage deal. We’ve said yes to cases where previously mortgage-free applicants are buying a new property to ready for their future retirement, or require funds for a significant purchase such as a static caravan or motorhome to enjoy their retirement. Increasingly popular are family benefactors, the Bank of Mum and Dad – or the Bank of Grandma and Grandad – releasing funds to gift a deposit to help would-be first time buyers to get onto the property ladder.
If you’ve got a later life case come on down.
Our expert underwriters consider every application individually, so where others see numbers, we see people. Let us see if we can help your later life clients.
E: bdt@ibs.co.uk
T: 0330 123 1073
W: www.suffolkforintermediaries.co.uk
View our products. View our criteria. Submit cases online by registering with our panel.
Correct as at 21 February 2022.
