In this brief guide, we are going to answer the question “can I get a 30-year mortgage at age 55”.

Can I get a 30-year mortgage at age 55?

Yes, you may be able to get a 30-year mortgage at age 55 but this depends on your circumstances and the number of mortgage lenders available on the market who lend up to age 85.

Most mortgage lenders will have a maximum age for mortgage lending which they set. 

This will usually prevent them from lending to borrowers who will be beyond this age at the end of the mortgage term. 

If you are considering getting a 30-year mortgage at age 55 then you may want to speak with an independent mortgage broker who can look at your personal circumstances and provide you with a recommendation.

The maximum age for lending set by most mortgage lenders is usually set due to the fact that the mortgage lender does not believe that borrowers will be able to comfortably repay the mortgage after this age.

This could be because they no longer have a regular income.

As of today, there are over 200 mortgage products available for those who will be 85+ at the end of the mortgage term.

How to increase the likelihood of getting a 30-year mortgage at age 55

There are various things you could do to improve the chances of getting a 30-year mortgage at age 55. 

Some of these things include:

Have suitable savings

If you have suitable savings then a mortgage lender may be willing to consider you for a mortgage much beyond their maximum age for lending requirements.

This is primarily because the mortgage lender will be satisfied that you will be able to afford the monthly mortgage repayments till the end of the mortgage term.

Get a lower term mortgage or mortgage

If you took out a lower mortgage term then a mortgage lender may be willing to consider you for a mortgage at age 55 but if this isn’t possible as you won’t be able to afford your mortgage then you could simply get a smaller mortgage.

This could reduce the risk to the mortgage lender and they may be willing to give you a 30-year mortgage at age 55 even if you will be beyond their maximum age for mortgage lending at the end of the mortgage term.

Increase your mortgage deposit

Increasing your mortgage deposit could also increase the likelihood of the mortgage lender giving you a mortgage even if you will be beyond the mortgage lenders maximum age at the end of the mortgage term.

Buy a standard construction property

Another way to increase the likelihood of getting a mortgage is by buying a standard construction property.

If you buy a non-standard construction property then you may find it harder to find a mortgage lender willing to lend to you beyond their maximum lending age, if it is 85 years old.

Regardless of which route you choose it may be relevant to seek manual underwriting which may make it easier for you to explain your circumstances to the mortgage lender.

Alternatives to getting a 30-year mortgage at age 55

The other alternatives to getting a 30-year mortgage at age 55 would be to get an equity release product which may be available to most people above the age of 55.

With an equity release product, you will release the equity you own in your property for a fixed upfront sum which you can choose to receive in full or drawdown regularly.

With an equity release product, you won’t have to make monthly mortgage repayments but rather your debt is paid off when you die or move into a care home.

To repay the debt, the equity release provider will sell your house and repay any additional earnings from the sale to your estate.

Your family members or estate may also choose to pay off the equity release product in full f they want to retain the property.

You can choose to ringfence some equity in your property for your estate and this will be passed on to your beneficiaries.

Almost all equity release providers in the UK are part of the Equity release council which stipulates that the equity release providers must each provide a no negative equity guarantee.

Negative equity is when you owe more on your mortgage than the property is worth.

Use a mortgage broker

Mortgage brokers are important as they can access mortgage products from across the whole of the market in some cases.

This could be over 11,000 mortgage products. This may have some advantages rather than going directly to a mortgage lender.

A mortgage broker will look to understand your financial circumstances and then provide recommendations on which mortgage products may be suitable for you based on your mortgage affordability.

After giving you these mortgage recommendations, most mortgage brokers will seek your consent to apply for a mortgage in principle. 

This will allow you to shop for your home easier as more estate agents and sellers may take you seriously or it will give you confidence that your mortgage is indeed a possibility before you make a full mortgage application. 

Once you have found a home you want to buy and are satisfied with the mortgage offer for your mortgage then the mortgage broker will then look to get you a mortgage offer.

This will come with a key facts illustration document which details out the features of your mortgage including how much you will pay per month.

It will also contain information on if there are any limits such as early repayment fees, or annual overpayment limits.

If you are happy with everything you can then go on to secure your mortgage with the help of a conveyancer.

Your conveyancer will manage the legal searches on the property to ensure there aren’t any issues with it.

They will oversee the sales agreement to ensure it is in your best interest, they will manage the transfer of mortgage funds, exchange contracts with the seller or their conveyancer and set a completion date with the seller or their conveyancer.

In this brief guide, we answered the question “can I get a 30-year mortgage at age 55”.

If you have any questions or comments please let us know.

John Bate

John has 22 years of experience in financial services. This spans across financial research, financial services (As a qualified mortgage broker and underwriter), financial trading and sales at global investment banks. While working as a publishing research analyst, he covered European bank credit and advised institutional clients on investment strategies at both JP Morgan and Societe Generale. John has passed all three levels of the CFA (Chartered Financial Analyst) programme.