Lenders are relatively flexible on allowing people to take out these longer-term mortgages, but there are constraints, according to David Hollingworth, from mortgage broker L&C.
“There will often still be maximum age limits at the end of the mortgage term and lenders will need to be sure that the borrowing will be affordable,” he said.
“That will require borrowers to show that their post-retirement income is adequate.”
Affordability checks became stricter after the financial crisis of nearly 20 years ago, with lenders needing proof that mortgage applicants could cope with rising interest rates.
The reality for many people is that getting any kind of mortgage remains unaffordable.
Data published earlier in the week, external shows the dynamics of renting and owning, and their effect on financial strains and life satisfaction.
“The proportion of people renting privately doubled during the 2000s, and while it has levelled off at around a fifth of households, or a third in London, we’re seeing people renting later in life,” said Sarah Coles, from investment platform Hargreaves Lansdown.
“Even when people reach their late 50s and early 60s, 11% are still in private rentals.”
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