Mansfield Building Society has revealed that it will now be extending its maximum age limit from 80 to 85 on its existing 2 year discounted rate product to 60% loan to value (LTV).
Available for both purchase and remortgage deals with a maximum repayment term of 30 years, the maximum age limit of 85 is accessible to borrowers on a capital repayment basis only. However, this is also now available for the product on an interest only basis up to the maximum age of 80, ensuring there is an acceptable repayment strategy in place.
Across the rest of Mansfield’s standard range, applicants up to a maximum age of 70 will currently be accepted. Despite this, the lender will use 100% of the gross pension income for affordability calculations (yet joint borrowers must be able to support the mortgage amount individually).
Mansfield will also now offer interest only for a downsizing product up to the age of 80 with a maximum LTV of 40%. This is subject to a minimum equity of £150,000, which is currently available exclusively to mortgage intermediaries.
Committed to reviewing their maximum age policies, many lenders have been adopting a fairer, common sense approach by assessing each case based purely on its own merits, offering greater access to mortgage options for older borrowers.
In line with this, Hodge Lifetime has now launched an interest only product aimed exclusively at borrowers over the age of 55. Now entering the mainstream residential market, customers up to the age of 85 can now apply for the deal, with a maximum term of the product available up to the age of 95, if the loan is taken out by more than one person.
The interest only deal is currently available as house purchase, remortgage or capital raising, at a maximum LTV of 60% and a £995 product fee. Rates start at 3.49% for a 2 year fix or 3.95% for a 5 year fix. A 2 year discounted loan is also available at a variable rate of 3.3%.