At Ipswich Building Society we welcome mortgage applications from people of all ages. We can't promise to lend to every single person but due to our manaul underwriting policy, you can be sure that your application will be judged on its merits and reviewed by a mortgage expert, giving you the best possible chance of being accepted.
We take the view that lending to older or more mature people is no different to lending to younger people - each individual has their own set of circumstances and their own financial commitments. However, over the years this group has not always been able to access providers and products as easily as others, and so may have their own set of concerns about their mortgage application.
Please see below for our mortgage FAQs for over 60s and other older borrowers. If your query is not answered here, please call 0330 123 0773 to speak to one of our expert mortgage consultants who will be able to help you.
Why did the Mortgage Market Review (MMR) make it harder for over 60s to get a mortgage?
The MMR was implemented in April 2014, with one of the major changes being lenders now have to take a close look at the affordability of applicants, monitoring both income and outgoings. As a result of this several groups of people previously able to access mortgage deals have found themselves Mortgage Misfits with limited choice – you can view our Misfits infographic here.
Specifically for over 60s and those who are retired the MMR has resulted in many lenders refusing to lend to existing borrowers where their mortgage term would take them over the age of 65.
Does Ipswich Building Society offer mortgages for over 60s and mortgages for pensioners?
Yes. We previously considered mortgage applications where the borrower will be up to age 85 at the end of their term. However, we're aware that increasingly numbers of people can afford to make repayments beyond this age and therefore we have entirely removed the upper age limit for the end of the term.
Is there a special retirement mortgage product?
No, to give greater choice we have not limited this to a single product and instead it applies across our current product range. Borrowers can access up to 75% loan to value (LTV) on any qualifying mortgage deal (subject to usual lending criteria).
What happens if I am still working but self-employed?
As we manually underwrite all mortgage applications individually we can assess cases from self-employed borrowers as long as they have been self-employed for at least the last 2 years prior to application. We will need to assess long term affordability to ensure the mortgage is affordable for both now and in the future.
What does affordability mean and what types of income will you accept?
The MMR means we now have to look at both incomings and outgoings of every mortgage applicant to make sure they can afford their mortgage now, and in the future in event of any rate rises.
To assess affordability we will accept 100% of pension income, and a proportion of other forms of income such as investments.
Will you accept applications where I wish to increase my mortgage balance, to release equity in my home?
We will consider applications where the borrower wishes to increase their mortgage balance, as we know that there may be occasions where borrowers wish to free up capital for example to help family members on to the property ladder or to help address long term health needs.
Will you accept interest only applications?
Yes, we will consider interest only applications in line with our usual affordability requirements and lending criteria.
If I have an interest only mortgage with another lender can I apply for a repayment mortgage with Ipswich Building Society?
Yes, we will consider applications in line with our usual affordability requirements and lending criteria.
Do I have to live in Suffolk to qualify?
No, our mortgage products are available to direct applicants across England and Wales or via mortgage intermediaries based in Suffolk, Norfolk, Essex, Cambridgeshire, Bedfordshire and Hertfordshire.