Can you still get a mortgage over 60?

Jojo_fry

Evening all, I've just been speaking to my folks and they have a bit of a dilemma. They are in their early 60s (61 and 62), my Dad is retired, Mum is still working, they want to move house and ideally downsize. Their house is worth about £200k, they have paid off most of the mortgage so they would have about that much to buy another place. However - they can't seem to find a property in that price range that meets their needs, they say they need another £100k to get anything decent in the area they want to live.

Say they were to find the property they want for around £300k, is it possible for them to borrow £100k on a mortgage at their age?

AnotherJoe

Depends on how much income they jointly get in earnings and pension.

Thrugelmir

Rather than downsize. They seem to want to upsize. They need to spend some time planning their retirement.

xyz123

Can't offer any advice on availability but.. Current House is worth 200k, they want to downsize and new property costs 300k?? Are you sure of these numbers?

Jojo_fry

Yep, this is what the property market is like in that part of Dorset. They currently have a 4 bed house, they want to move to a 2 or 3 bed place but not in the same area. If they wanted to stay within a 1 mile radius and get a grotty ex council place then of course that would be affordable, but they want to move away from that area and to do that they will need another £100k to get a decent small house.

Jojo_fry

They currently have a combined take home income of around £40k

theGrinch

yes. depends on your income now and into the future and term

AnotherJoe

Jojo_fry wrote: »

They currently have a combined take home income of around £40k

If that income was to continue for say another 5-10 years then a mortage over that period would seem to be very possible, it's only about 2.5x income when 4+ is routine. And quite a few lenders are going up to age 75 now. Plus in 5 years they will have state pension kicking in for both of them. . They should see a broker.

I agree with other posters this isn't really downsizing in the sense most people use it which is selling to buy a cheaper house and release capital. The fact that usually involves a smaller house doesn't IMO define what downsizing means to most people.

They want to move and need a new mortage is the basic requirement and they seem on what you've said to be in reasonable shape for that.