What is the maximum age to get a mortgage?
Despite the fact that many people believe that lenders won't issue mortgages to anyone over the age of sixty five, a survey by insurance giants Aviva last year showed that a surprising twelve and a half per cent of people aged between 65 and 74 still have mortgages on their homes.
Many of these cases can be explained away due to the homeowners in question having taken out interest only mortgages where they only paid the interest on the mortgage while saving money to pay the whole thing off when they have enough put aside, or people who fell upon financial problems and had to remortgage, or people who took out mortgages considerably later in their lives than most people tend to.
So this begs the question, is there actually a maximum age for lenders to consider issuing mortgages or is it just a common misconception?
It used to be the case that financial institutions could estimate with a fair degree of certainty that most people would be aiming to have their mortgages paid off by the time they hit the retirement age of 65. However these days that is not always a given. People tend to work later into their 60s if they are able to, and the increase in life expectancy means that an ever rising number of people are willing to stay in work longer.
This means that lenders have had to readjust their stance, and lengthen the point in time where they expect morgages to be paid off from 65 years of age to 75 years of age. But even then there are mitigating circumstances that could see a mortgage being granted to someone who may not reach these expectations.
For the most part though, we can now take the maximum age for mortgages to be 75 years of age - don't bet against that increasing in the near future though!
maximum age mortgage