Mortgages in your 50s, 60s and beyond: what are your options?

Am I too old to get a mortgage?

Usually not. Many lenders set a maximum age at the end of the term, often somewhere between 70 and 85, and some have no upper limit. What matters most is whether you can afford the payments now and after you retire.

Lenders assess earned income, pensions, investment and rental income. If the term runs past your retirement age, they will want evidence of your expected retirement income, such as pension forecasts. Planning a few years ahead gives you more choice.

Some lenders are more flexible than others about age. A lender may accept a longer term if you have substantial pension savings. Some also accept later retirement in professions where it is common. Others apply strict limits. Comparing criteria across the market matters more in later life than at any other stage.

Option 1: a standard mortgage into retirement

A standard capital repayment or interest-only mortgage can run into retirement if your pension income supports it. This suits people still working who want to buy, move or remortgage, and who will have a reliable retirement income.

Some lenders cap the term at a set age. Others are more flexible. A shorter term means higher payments but less interest overall. A longer term lowers payments but costs more over time. Our repayment calculator shows how the term affects payments.

If you are buying with a younger partner or a family member, some lenders may base the term on the younger borrower's age. Joint applications need careful thought about ownership and what happens if one borrower dies.

Option 2: retirement interest-only (RIO)

A retirement interest-only mortgage lets you pay only the interest each month. The loan is usually repaid when you die, sell the home or move into long-term care. There is normally no fixed end date.

• You must show you can afford the monthly interest from your income, often pensions.
• The loan does not reduce, so the amount owed stays the same.
• Joint borrowers are usually assessed on what the survivor could afford alone.
• Borrowing limits are often lower than standard mortgages.

RIO can suit people with an interest-only mortgage ending who want to stay in their home. It reduces what you can leave to family, because the loan is repaid from the property.

Option 3: equity release with a lifetime mortgage

A lifetime mortgage lets homeowners, usually aged 55 or over, release tax-free cash from their home. You often make no monthly payments. Interest rolls up and is added to the loan, then repaid from the sale of the home when you die or move into care.

Because interest compounds, the debt can grow quickly. This reduces the inheritance you leave and can affect means-tested benefits. Many plans offer a no negative equity guarantee and allow voluntary payments. Equity release needs specialist advice, and you should involve your family where appropriate.

What if my interest-only mortgage is ending?

If your interest-only mortgage ends soon and you cannot repay it, speak to your lender and a broker early. Options may include extending the term, switching part of the loan to repayment, a RIO mortgage, equity release or downsizing.

Lenders must treat you fairly, but they will expect a plan. Starting the conversation a year or more before the end date gives you more options. Our interest-only mortgages guide covers repayment strategies.

Should I consider downsizing instead?

Downsizing can release money and reduce running costs, without any new borrowing. It can also mean a home that is easier to manage. But moving costs, including stamp duty and legal fees, can be significant, especially in London.

Some people downsize and keep a small mortgage on the new home. Others use a bridging loan to buy before they sell, which is expensive short-term borrowing. Compare the total costs of each route before deciding.

How do I choose the right option?

Start with your goals. Do you want to stay in your home, help family, repay an existing loan or fund retirement? How important is leaving an inheritance? How secure is your income?

• Gather pension statements and forecasts.
• List your existing mortgage balance, end date and any charges.
• Think about your health, plans and how long you expect to stay in the home.
• Talk to your family if the decision affects inheritance.

OMB compares later-life lending across the market and explains the trade-offs clearly. See our later-life mortgages page for more.

Whatever you choose, make sure you understand the total cost and how it affects your estate.

Frequently asked questions

Important: This guide is general information, not personal advice. Rules, rates and lender criteria change; speak to an adviser about your circumstances. Your home may be repossessed if you do not keep up repayments on your mortgage.

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