View more on these topics

Nationwide increases maximum age to 85

Nationwide-Building-Logo-Closeup-700x450.jpgNationwide Building Society is extending the maximum age for borrowing to 85 for borrowers who are already in retirement and receiving a pension income.

Previously the maximum age for all borrowers was 75. The lower age threshold still applies to those not currently in retirement.

The higher age threshold will apply to both existing mortgage customers and those remortgaging from other lender, providing them with the opportunity to take equity out of their homes or transfer onto a new rate.

This option will initially only be available through mortgage intermediaries, with customers offered the option to apply directly to Nationwide later in the year.

Nationwide says the move gives it the current highest age threshold of any major high street lender.

It will be available across the mortgage product range, with a limit for any new borrowing of £150,000, which in the case of existing Nationwide customers is in addition to any mortgage balance being ported. Loan to value (LTV) will be up to a maximum 60 per cent, and customers must be under 80 years of age to apply.

Only retirement income can be used when calculating affordability. It is not available in conjunction with affordable housing schemes and cannot be used for debt consolidation purposes.

Nationwide head of mortgages Henry Jordan says: “Nationwide is launching the next stage of an ongoing plan to increase the ways in which both new and existing customers can access the equity in their homes and borrow against it to support a range of retirement needs.

“We will continue to look to strengthen our support for older and retired customers and to help them access the appropriate products for their lifestyle choices.”

For joint mortgage applications, when calculating the maximum affordable amount Nationwide will only use 50 per cent of each applicant’s pension income.

Both applicant’s pensions must include the provision to continue to pay at least 50 per cent to the other applicant in the event of death, and proof of this dependant’s benefit clause will be requested as part of the application.



Traders ‘competed to win the Libor cup’

The High Court has heard how bankers from Lloyds Banking Group and Royal Bank of Scotland competed against each other to earn the title “Libor legend”. The Sunday Times reports the claims have been made as part of a court case against RBS by the developer Property Alliance Group, which is claiming it was missold […]


Comment: Brexit won’t beat bridging

The shockwaves from the Leave result reverberated around the world’s stock markets and foreign exchanges. Several large commercial property investment funds saw temporary suspensions amid the turbulence. The subsequent political earthquake is still sending tremors through Westminster and the City, even as Theresa May settles into Number 10. And yet this is different from the […]


First-time buyer incomes are £16,000 per year above average

The average income of first-time buyers was £16,000 higher than that of the average household in 2014-15, new figures reveal. The figures suggest that only those on significantly  higher-than-average incomes are managing to get onto the property ladder or feel able to make the financial commitment involved. First-time buyers had an average yearly income of […]

Patient - thumbnail

Company sick pay – new findings

Research by insurer LV= suggests that some 11 million employees in the UK have no company-paid sick leave entitlement. So if an employee from within the above grouping cannot work through illness or injury for any period of time, their only income would likely be that provided by state benefits alone.


News and expert analysis straight to your inbox

Sign up

Why register with Mortgage Strategy?

Mortgage Strategy continues to be the market-leading B2B mortgage publication in the UK, and provides trusted, independent insight with the aim of helping, promoting and analysing the latest developments for mortgage professionals.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Mortgage Strategy Events
Be the first to hear about our industry leading conferences, awards, webinars and more.

Research and insight
Take part in and see the results of Mortgage Strategy's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now