Can You Remortgage at 60 or Older?
Yes, you absolutely can. There is no legal barrier to remortgaging at 60 or any other age in the UK. The key challenge is meeting lender affordability criteria, which become more focused on retirement income the closer you are to stopping work.
Many high street lenders now accept applications from borrowers over 60, provided the mortgage term does not extend beyond their maximum age at maturity. For example, if a lender's upper age limit is 75, a 62-year-old could take a maximum term of 13 years.
Shorter terms mean higher monthly repayments, so it is essential to ensure your income, whether from employment, pensions, or other sources, can comfortably cover the payments throughout the entire term.
Proving Affordability with Pension Income
If you are already retired or plan to retire during the mortgage term, lenders will assess your pension income in detail. You will typically need to provide:
- State Pension forecast – you can obtain this from the Government's online service at gov.uk.
- Private and workplace pension statements – showing the current value and projected annual income.
- Defined benefit pension details – if you have a final salary scheme, this is often viewed very favourably by lenders.
Lenders generally prefer guaranteed income sources such as defined benefit pensions and the State Pension. Income from defined contribution pots may be assessed more conservatively, as drawdown income can fluctuate.
Some lenders will also consider other income streams such as rental income from buy-to-let properties, part-time employment, or investment returns, though these are usually subject to additional scrutiny.
Interest-Only and Retirement Interest-Only Mortgages
If affordability is tight on a repayment basis, you may want to consider an interest-only or retirement interest-only (RIO) mortgage. With a standard interest-only mortgage, you pay only the interest each month and repay the capital at the end of the term, usually through the sale of the property or other assets.
Retirement interest-only mortgages were introduced following FCA rule changes in 2018 and are specifically designed for older borrowers. With a RIO mortgage, you make monthly interest payments for the rest of your life or until you move into long-term care. The loan is then repaid from the sale of the property.
RIO mortgages have no fixed end date, which removes the problem of the mortgage term extending beyond a lender's maximum age. They can be a good option if you want to stay in your home and keep your monthly costs manageable.
Finding the Right Lender Over 60
Not all lenders treat older borrowers the same way. Some high street banks have restrictive age policies, while building societies and specialist lenders tend to be more flexible. It is worth knowing which lenders are most likely to accept your application before you apply, as multiple declined applications can harm your credit score.
A whole-of-market mortgage broker is invaluable in this situation. They can quickly identify lenders whose criteria match your age, income, and circumstances, saving you time and reducing the risk of unnecessary credit checks.
You should also consider whether equity release might be more appropriate than a traditional remortgage. A qualified adviser regulated by the FCA can help you weigh up all the options and decide which route is best for your situation.
Important: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual rate available will depend on your circumstances. Think carefully before securing other debts against your home.