Mortgages for over 60s

stratos66

Hi,
Hoping someone can help me (or rather help my mother-in-law.)
She is 63, and will need to change her mortgage next year as she is currently on a very high rate - about 9.5 per cent. But her financial history is poor and she has missed several payments with her current lender, and has fallen into arrears more than once. She's not currently behind with her payments though.

She still works although her business has made a loss for the last three years. She wants to start a new, smaller enterprise that will be more manageable and has the potential to earn a reasonable income - enough, at least, for her to live off.

But we are coming up against a very obvious reluctance from lenders to get involved. Her bank, initially, said yes, but is now not sure. Her age is making it tricky, and her lack of of demonstrable income is also a problem.

Does anyone know of any lenders who might be willing to take her on? There's enough equity in the house for security - it's worth about £350-£380k, and she will need to borrow £182k.
Thanks

opinions4u

So she has:

- poor credit history, including mortgage arrears in the recent past
- ownership of a loss making business for her income
- is close to retirement age
- LTV around the 50% mark

One good point, 3 nightmare points. I think she will struggle to remortgage.

Has she thought of selling up and moving to something smaller and mortgage free?

dunstonh

she is currently on a very high rate

No surprise with her credit status.

The bank may be her only real option as they may consider it under a business loan secured against her property. However, just because she has equity doesnt mean they will do it any more. They have to be convinced she will be able to succeed at what she wants to do.