Older First Time Buyer

crmiles01

Hiya, a newbie, here. I've already gained so much from browsing the forums. 

However I wanted to ask if there were any other 40ish first time buyers out there. I'm 45, and only now starting to think about buying.

I'm single (so will be buying by myself) I don't have much in savings (family can't help financially) good 40k job, and a little bit of debt (working on that) and would be looking at shared ownership, but I'm worried about my buying options because of my age. 

What are the implications of getting mortgage at 45+ (higher rates, higher deposit required). 

Has anyone been a similar age/position got any success stories of getting on housing ladder. 

Hope you can advise/inspire me. 

ReadingTim

The main implication seems to be whether the lender caps the maximum age at which they'll let someone have a mortgage, and/or whether they'll lend to someone past retirement age. 

This means that you may find yourself having to borrow over 20 years, rather than 25, which either increases your monthly repayments, or decreases the amount you can comfortably borrow.  

silvercar

I don’t think you will have any problems. Lenders are quite happy to lend until 70+ these days, so I doubt it would be an issue. 

hazyjo

As above, it's much easier/more common now to get a mortgage lasting until you're over 70 (whether you'd want to is another matter!). A friend has just bought after renting for decades - they're a couple in their 50s. You should be treated the same as someone in their 20s. Speak with a good all-of-market broker, and try to clear that debt as it's likely to affect your borrowing power. Good luck!

cashless_wonder

We were mid 40s when we purchased our first house 2 years ago - went for 20 years on the mortgage term rather than 25 & plan on overpaying when we've finished the seemingly never ending list of jobs.

london21

Should be able to get a mortgage for 25 years depending on the age you plan to retire.

Sistergold

There are many who have had to buy late due to different reasons, divorce etc. I was very late 40s in 2019 when I bought as a single and got just over a 20 year term which I am slowing dealing with. Payments are higher. Daunting to think I will be into my seventies if I let it run its course. Either way it’s still made more sense to buy than to rent even now. 

Tiglet2

It can be done. 

You could take out a 25 year mortgage and then, when it is financially easier, you could start making overpayments to pay off the mortgage quicker.  It will also save you a considerable amount of interest. 

I decided to make a 10% lump sum payment to my mortgage every year (once the monthly mortgage amount was easier to manage).  Most fixed rate deals allow a repayment of 10% each year.  This can shorten the life of the mortgage or reduce your monthly payments.  I chose to shorten the life of my mortgage and managed to pay it off 10 years earlier than the original 20 years.

Best wishes to you.  

katkatmachine

My partner was 47 and I was 31 when we bought our house three years ago. We’re both first time buyers. Our mortagage term is only 23 years, they based it on my partner’s age. So yeah getting a mortgage at 40s is possible, just shorter mortgage term and also life insurance is a bit more expensive but still okay so yeah. Good luck. 

mi-key

I would try and get the shortest term you can afford comfortably. You probably can get a 25 year mortgage, but do you still want to be working at 70 to pay it? 

gwynlas

With the pension age being 68 for the majority at the moment you should not have a problem with a mortgage ending at 70. I would advise that you look at a standard purchase rather than shared ownership as you would still be subject to rent increases and if staircasing subject to valuation at the time