It can be harder to get a mortgage over the age of 50, which is why Quote Goat has partnered with Mojo Mortgages, to bring you a fee-free mortgage broker service to compare over 50s mortgages from all UK lenders.
What is a mortgage for over 50s?
An over 50’s mortgage is exactly what it says on the tin; most mortgage providers set their own age limits on their mortgages whether that be your age when you take out the mortgage or your age when the mortgage term comes to an end, usually ranging from 75-95.
There are still plenty of mortgage deals out there for those over fifty. Most UK lenders will put forward an offer as long as you have good credit history and a large deposit or equity in your home.
Are there any advantages to mortgages for over 50s?
Whilst they may be more difficult to attain, there are certain advantages that over 50s will see compared to others such as first time buyers. Those over fifty are much more likely to have a significant deposit saved up which can see them receive a reduced interest rate and they will have a more substantial credit history for a lender to refer to.
Are there any disadvantages to mortgages for over 50s?
Unfortunately there are also some downsides to acquiring a mortgage later in life. Lenders often do not want to extend a mortgage too far past retirement age, meaning you may only be able to secure a 15-year repayment term when applying for a loan at 50.
With a shorter mortgage term the monthly repayments will be considerably higher as the amount needed to be repaid will be spread over a shorter period of time.
What mortgages for over 50s are available?
Most mortgages available to the over 50s are similar to standard mortgage offers. The most common types available are fixed rate, variable rate and tracker mortgages.
Fixed rate mortgages have a fixed interest rate for a set time, usually between two and five years for the over 50s. Your monthly repayments remain set for the time period and won’t change regardless of how interest rates fluctuate in this time. At the end of the fixed term you are free to compare new mortgage offers from your same provider or to see if you can get a better offer somewhere else.
Variable rate mortgages are another option. On this type of mortgage the interest rate you pay per month will change according to alterations your lender may make.
With a tracker mortgage your interest rates are variable and track another interest-rate, usually the Bank of England’s base rate.
Compare mortgages for over 50s
Compare mortgage rates available for those over the age of fifty using Quote Goat’s partners by clicking the button below. As well as comparing rates you can also check your eligibility and get expert advice using Mojo’s fee-free online mortgage broker service.