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Interest only mortgage term ending

I am 63 divorced and my interest only mortgage terminates soon . My mortgage is £620000 the property is now worth 1.1 million. I can't afford to pay off the mortgage. Can I use the equity to pay off the mortgage what are the implications 

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  • MattMattMattUK
    MattMattMattUK Posts: 11,836 Forumite
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    linda64 said:
    I am 63 divorced and my interest only mortgage terminates soon . My mortgage is £620000 the property is now worth 1.1 million. I can't afford to pay off the mortgage. Can I use the equity to pay off the mortgage what are the implications 
    How would that even work? For starters you have £620k of debt and £480k of equity, so the numbers do not add up, secondly if you borrowed from the equity then it would just be shuffling debt around. You could try to get a lifetime mortgage/equity release, but I doubt you own a high enough percentage of thr property to be able to do that.

    What was your plan to pay off the £620k when it fell due? Your only real option is to sell the property and buy somewhere you can afford.
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