If looking into mortgages for over 60s in Cardiff, you might be asking whether your age could get in the way. The reality is that getting a mortgage at 60 is possible, but some lenders cater specifically to people in later life.

Whether you’re planning a move, looking to remortgage, or thinking about releasing some of the equity in your home, there’s likely to be a product that suits your needs.

Mortgage Options for Over 60s

There’s no one-size-fits-all approach when it comes to mortgages after 60. Your plans, income, and future goals will all influence which type of mortgage might be the right fit.

Repayment Mortgages

With a repayment mortgage, you pay off both the loan and the interest each month, gradually reducing the amount you owe over time.

Many lenders will consider applicants in their 60s for this type of mortgage, especially if you’ve got a strong income or a healthy pension.

The term of the mortgage might be shorter than standard, often ending when you reach your mid-70s or early 80s, depending on the lender’s criteria.

Interest-Only Mortgages

An interest-only mortgage lets you pay just the interest each month, keeping your monthly costs lower.

The original loan balance still needs to be paid back at the end of the term, so lenders will want reassurance that you’ve got a plan in place, whether that’s from savings, investments, or the sale of another property.

This type of mortgage can work well if you have a clear exit strategy.

Retirement Interest-Only (RIO) Mortgages

A retirement interest-only mortgage in Cardiff has grown in popularity among those aged 60 and above. You continue to pay the interest each month, but there’s no set end date.

The loan is repaid when your property is sold, usually after moving into long-term care or after you pass away. This can offer peace of mind if you’re after a more permanent solution with manageable monthly payments.

Lifetime Mortgages

A lifetime mortgage in Cardiff is another option worth exploring. It allows you to access some of the value in your home without needing to make monthly repayments.

Instead, the loan and any interest added are paid back when the property is eventually sold. It’s designed for homeowners aged 55 and above, and can be used for a range of reasons. from boosting retirement income to helping out family members.

What Do Lenders Look At?

Getting a mortgage at 60 involves a few more checks compared to younger applicants, but it’s far from out of reach. Lenders will look closely at your financial picture to make sure the deal works for you both now and in the years ahead.

Income Assessment

Your income still plays a key role, even in retirement. This might come from a private or workplace pension, rental income, investments, or even part-time work. The more reliable and stable your income is, the more likely it is that you’ll meet a lender’s affordability requirements.

Credit History

Your credit history will be reviewed to see how you’ve managed money in the past. A good score can open the door to more competitive deals, but even if your credit isn’t perfect, there may still be options. Some lenders specialise in helping those with less-than-ideal credit backgrounds.

Loan Term and Age Limits

Most lenders set a maximum age by which the mortgage must be repaid. This is often between 75 and 85, though a few may stretch this further depending on your health and financial situation. The loan term offered may be shorter to fit within these limits, but as long as the repayments are affordable, that doesn’t have to be a problem.

Affordability Checks

Affordability remains central to any mortgage decision. Lenders want to see that you can manage the monthly payments without stretching your finances too thin. This will involve looking at your income, existing commitments, and expected outgoings in retirement.

Speaking to a Mortgage Advisor in Cardiff

If you’re 60 and exploring your mortgage options, it helps to have someone who understands the market. A conversation with a mortgage advisor in Cardiff can help bring your options into focus. They’ll look at your income, property value, and plans to help you choose a mortgage that suits your lifestyle and long-term goals

Date Last Edited: May 30, 2025