End of interest only mortgage

rhodigar

Appreciated if anyone could advise. Interest only Mortgage on self and my wife comes to an end this Oct. £83,000 outstanding on house valued 240 - 250K. Age 67/65 began mortgage 1991. Hit badly by failing endowment and support to a business venture. Believe our credit score perfect and no other outstanding loans. We are considering selling, private treaty/auction and either downsizing or renting. If possible we are interested in staying put. Can anyone advise if there are any mortgages on basis of joint life, payment of mortgage on 2nd death/enter retirement home? Or any mortgages until, say, age 85 or 95? Or a mortgage of Min 5 to say 20 years? Interest only ideally. An alternative we have considered is equity release and paying back the shortfall from uncashed funds. If we were able to stay in the home longer on the basis of a "normal" mortgage for some time we might benefit from possibly enhanced equity release values. Current gross pension incomes £23,000, two uncashed private funds total £50,000, Part time work at present £12,000 pa, pension from living abroad begins this december £2500 to 3000pa. One of us is full time carer for grandchild. Any suggestions/advice or alternative solutions welcomed

Thrugelmir

Speak to your lender ASAP.

In the meantime pay down as much of the debt as possible.

dimbo61

Can you speak to your existing lender and ask to extend the IO mortgage for a couple more years ?
Explain that you have pensions and other investments to pay off the balance.
If you paid off some of the balance now it may make the " affordability" better.
If no go then go see a " whole of market mortgage broker" for help

rhodigar

Thank you both for the above info. will approach current lender and see what happens Many thanks