Mortgage at 72 - is this possible?

My grandmother moved home when she was in her 80s, in order to live next door to her daughter, and she was able to get a very small mortgage

Good luck with your move, I hope that it’s possible

It might be better to make an appointment with one or two mortgage providers and speak to someone face to face lejaye to see if a mortgage would be a possibility.

You might find this useful. www.unbiased.co.uk/discover/mortgages-property/buying-a-home/mortgages-for-pensioners-i-m-over-65-can-i-get-a-mortgage#:~:text=Although%20some%20lenders%20set%20their%20own%20maximum%20age,can%20repay%20the%20loan%2C%20one%20way%20or%20another.

Smileless2012

It might be better to make an appointment with one or two mortgage providers and speak to someone face to face lejaye to see if a mortgage would be a possibility.

This ^^ seems the best approach.

Speak to a Mortgage Broker with access to all of the market they will be able to advise you what is available.
Little point you speaking to the mortgage providers yourself as they will be only able to advise on their products. There is a vast amount of products and lenders out there you need a professional to find you which if any are suitable.

Some good advice here.
I've nothing to add, just wanted to wish you all the best. I hope a move nearer to your family will be possible.

Yes you can get a mortgage in your 70s as long as you have the income to cover the repayment costs and can prove so. I agree with the above, to go with a mortgage broker but also it is quite widely known that the Halifax are good at lending to older borrowers, so maybe contact them?

Thank you for being such a kind neighbour by the way. I imagine all that going on can be quite testing at times.

What about a mobile or park home? You will need to look into site fees etc. But may be able to buy one for cash, obviously much depends on the area. Just an idea.

Wish you all the best leejay

A friend of mine in a similar situation moved closer to her children - they got the mortgage in their names (so technically of course the house belongs in part to them - she also had money to contribute) and she reimburses them the mortgage instalments. Is this perhaps an option?

We've had quite a few conversations about 'park homes' . Whilst there are disadvantages, and you need to look very carefully at site fees, they do suit some folk very well. Being on one level is an advantage for the future.

It sounds as if you would have help for things like moving, but do remember to budget for legal fees, searches & surveys.

It may be worth signing up to sites like Plot Search & Plot Finder if you haven't already. Finding land is indeed a huge problem, but odd small plots do pop up - the very small ones are often not of interest to developers or the usual self-builders (2 have come up recently near me). I would definitely mention it to estate agents.

I hope it works out for you

Yes you can get a mortgage until age 80 as long as you can prove you have the resources. Mine is until 75 but at one point I made enquiries about extending it to 80 for very modest extension, and it was given the OK as my guaranteed pension income more than met the guidelines. Mine is with Lloyds tho I am a long term customer.

Speak to a broker.

lejaye what you probabaly need is a Retirement Interest Only mortgage, usually referred to as a RIO mortgage..

We took one out 2 years ago when the cost of building an extension to our house exceded our available resources.

We pay interest only on the mortgage and the capital will be repaid when we die/go into care or downsize. If you google 'RIO mortgages' you will get a long lists of well known lenders that supply them.

I think given your particuclarly problem - you want to buy a house, but do not currently own one, I suggest that you perhaps start with financial institutions you already have a relationship with. or with whom your daughter has a relationship, so she can introduce you to the potental lender. Also talk to any lender who might be local to where you want to live. If your daughter lives in Skipton, it might help to speak to the Skipton Building Society, theywill know the local market vee

Before you talk to anyone, prepare a dossier of information to show any lender that will show that you have thought this plan to buy a house through. Include examples of the type of property you want to buy. Work out your moving costs. No need to worry about stamp duty, the house you fancy would clearly be below the stamp duty level, but there will be legal fees, no estate agent fees, but moving costs. Think this through and check how much that leaves you for the house. Draw up a budget and include them.

Loan size will probably be limited to half the value of the property. As your mortgage repayments will be very low, see if any member of your family would be prepared to act as a guarantor, if you do not meet payments. As your income is secure - being mainly pension income, the chances of default are minimal, but it might be the kind of thing that makes a potential lender feel happy. ldndiing to you..

Perhaps someone in your family may lend? We lend in our family.

Yes you can get a mortgage but depends on the lender. Some like the term to end at 80 but some will provide a loan for longer. I have a friend who has taken out a small mortgage - about 38k I think - but it’s only over 10 years. She was 68 when she took it out.

Gosh thank you all for all these comments and the advice, lots to go at here. It looks as though it might be possible - though with the price of houses at the moment finding one might be tricky. A friend had a park home but there were so many restrictions (no hedges for example) and little privacy that together with all the financial problems she was glad to get away and wouldn't recommend. I may continue to look into 'tiny homes' as they are really good and will speak to some advisers as you all suggest. I didn't want to start there in case they laughed me out of the place - you need some information to ask sensible questions. As I currently pay £500 rent I'm assuming they will see that I can at least pay that. Will continue the research, thank you again all for your help and encouragement.

We took our RIO mortgage out at 78 and it runs until we move or die. Given my families longeevity, that could run to getting on for 100.

I htink the limits you mention tickingbird apply to someone taking out a normal repayment mortgage.

I would suggest lejaye looks for a mortgage aimed at retirees.

Monica

Yes you’re right. My friend did look into a RIO mortgage too and was accepted in principal but then decided to go for a repayment as she wanted something to leave her children. I hadn’t heard of them until she told me and I think they’re a great idea.

We are fortunate that the amount we borrowed was less than 10% of the value of the house, so there will be more than enough capital in the house for our family.or care, when we go.

What we did not want was the build up of interest than can eat into your capital if you roll the interest up as you can with equity release. Fortunately we both have occupational pensions, so the interesr payment is well within our means, even if the amount we pay doubles at the end of next year after the three year fixed rate expires.

Could your daughter get a buy to let mortgage? You give her the £70k she buys the property and you live in it, pay her rent to cover the mortgage and undertake to pay for repairs etc.
I do know someone who has done this.

SorryRetread just read your post. I’m sorry if it looks like I copied you.

PamelaJ1

Could your daughter get a buy to let mortgage? You give her the £70k she buys the property and you live in it, pay her rent to cover the mortgage and undertake to pay for repairs etc.
I do know someone who has done this.

A buy to let mortgage could work quite well for your daughter, with your legacy as deposit. Family financing is very effective.

Had friend in similar situation who was advised to get bank loan as opposed to mortgage. Good luck with the move.