25 year mortgage aged 50

Smtilly

I can’t find this on a search but here goes .

I am 50 now (it comes to us all) and have a current mortgage roughly 101000 with 16 years to run .

I want to increase it to 120000 and extend to 25 years . (We plan on downsizing in 3 or 4 years ) presently just want to decrease the monthly payments.

My question relates to - is it possible to get a real 25 year mortgage ? If so from whom?

I currently am in full time employment, I already receive a pension and have income from a couple of buy to let’s .

Are the companies only going to use my pension in affordability for the entire time or will they use every thing and only give a 16 year mortgage?

Hope this makes sense ?

amnblog

This depends on the Lender, your occupation, your income, and your pension income.

The text of your post suggests affordability could be an issue.

Smtilly

It’s just you don’t get a much from a pension as earnings .
42-44k income at present of which 18 is pension. I wouldn’t have thought affordability at the moment would be too much of an issue but who knows .
That’s what my question is about .

Nick_C

I got an 18 year mortgage from Santander at age 57.

Some lenders will lend to age 85 now.

Many people with private pensions are better off than people in work; no NICs, low expenses.

Smtilly

Thank you both for your replies .

Nick did they just use your present income as a multiplier or a future pension figure ?

I haven’t approached any lender other than the Tsb who are my present lender . They said they would only use my pension income for any affordability checks after age 67 and these would effect the whole term mortgage.

They would also only use my present pension would ignore pay and wouldn’t even include a projected old age pension.
All seems nuts to me and they are obviously only interested in mortgages to retirement age not what they advertise ie 70 odd years age

Nick_C

They looked at current income, which was a pension and investment income, and my partner's income.

My income will increase when I hit retirement age, but that is still some way off; they didn't take account of future SRP.

And of course when you are borrowing money for a long period, all they can do is look at current income or the previous 3 years if you are self employed or your earnings are irregular.

Check Nationwide as well. I believe they lend to age 85.

McKneff

Why do you want to saddle yourself with debt at your age anf for the next xxxxyears.

Nick_C

McKneff wrote: »

Why do you want to saddle yourself with debt at your age anf for the next xxxxyears.

In my case, it was because my investment income was giving me a far greater return than the cost of a mortgage.

Thrugelmir

Smtilly wrote: »

I currently am in full time employment, I already receive a pension and have income from a couple of buy to let’s .

Are the BTL's mortgage free?

Smtilly

No the BTL both are mortgaged . They are running fine giving me income . They’ll be sold at some point n the future .

I’m hoping to be mortgage free within 10 years when we downsize but while the kids are with us we need the bedroom numbers we have .

Just looking for a company that will provide a mortgage to age 75 and consider present income for affordability.

Thrugelmir

Smtilly wrote: »

No the BTL both are mortgaged . They are running fine giving me income . They’ll be sold at some point n the future .

Lenders may well then not take this income into account. That'll be an internal policy decision. As they won't assess on an individual basis. An income stream could be become a negative cashflow very quickly.