Over 50s mortgages for retirees...

Gelzee

Hi,

First posting, so here goes

I have recently retired and found my ideal holiday home, however to buy outright is not possible. I have no mortgage on my property, and a regular monthly income from savings. I need to borrow around 200k (10 year repayment term), but have the means to pay this back with no problems, and am happy to use my house as a guarantee. However no body will even talk to me as I'm over 50 and retired.....

Can anyone suggest any ways to help??

All the best,
Gelzee

Gelzee

78 views and no replies???

Thrugelmir

While you may believe the mortgage to be affordable at this point in time. The income generated from savings is not guaranteed. That would be one issue to be considered. Given that a 10 year mortgage could entail repayments in excess of £2k a month. Far higher if interest rates were to rise.

Gelzee

Hi,

I have more than enough funds to cover what I want to borrow, and they are guaranteed, although I do take your point. Any ideas of any companies that would do mortgages for over 50s?

Thanks,
Atb,
Gelzee

Wh05apk

All lenders will do mortgages for over 50's, but this will be subject to provable income, investment income will not count, so will need to be earned/pension income.

Gelzee

Brilliant, so even if I were being paid for the sale of a business etc. in a guaranteed form, over 20 years it won't count as income??

Thanks for the heads up

Gerry

holly_hobby

As Wh05. states, being 50 isn't the issue, your source of income is.

Gelzee wrote: »

Brilliant, so even if I were being paid for the sale of a business etc. in a guaranteed form, over 20 years it won't count as income??

Thanks for the heads up

Gerry

So its not actually invested capital, but rather a debt thats being repaid to you (for sale of your business) zover an extended period. That being said, what forms of gte is underpinning the regular capital receipts from your debtor ?

Has the debt been indemnified, in case the purchaser of your business becomes insolvent/ceases trading etc ? (meaning the residual of the unpaid sale proceeds, would become part of the TIBs list of creditors) ?

You can see from the above, why a lender would be unhappy to accept this as any form of income - and why it may be considered folly to rely upon it for such a commitment in any event (nb - if there is any interest element to the payments recd, this should be reported for tax purposes under your annual SA).

If the residual proceeds from the sale were made available, you could utilise this to pch the property - but otherwise in its current format (without any gtes), you'll struggle to find a home for this enquiry.

Hope this helps if not exactly music to your ears !

Holly x

Gelzee

Hi Holly,

Thanks, yeah it's all fully indemnified, but it seems I may just have to source the money another way Thanks for your help guys.

Tom