Halifax problems

perdusys

My niece is currently going through a divorce and wants to remain in the marital home.  She has a mortgage balance of approx £37K, and needs to raise approx 35 to 40K extra to buy out her ex and keep the payments affordable.  Leaving a mortgage of approx £75K in total. She would like to extend the current term from the existing 10 years remaining ,to 25 years to help with affordability, she is currently 45 years old and in full time employment. 
She has approached her existing mortgage provider, Halifax BS, and been told she cannot raise any further funds.  She has never defaulted or delayed payments.

She has approached an independent advisor who has advised her she could get a mortgage of £77K.  Does anyone know why her existing lender would refuse to help?  She is on a fixed term rate and will suffer a £1500 penalty if she repays the loan, which she really could do with avoiding.

Thrugelmir

Her age will be 70 at the end of the mortgage term. Sounds as if affordability criteria is being stretched to the limits.  

kingstreet

If age is 45 attained, she would need to take a maximum 24 year term with a selected retirement age of 70.

Try the affordability calculator and see the output;-

https://www.halifax-intermediaries.co.uk/tools_and_calculators/mortgage_affordability_calculator/default.aspx