Published on: 31 March 2024
We've made several changes to our Later Life mortgage criteria, including increasing lending limits by up to five times a borrower’s income for pound-for-pound remortgages.
Our enhanced policy is a result of broker feedback and aims to provide more flexibility and accessibility for retired homeowners aged 55+ seeking mortgages. The new criteria changes apply to the Later Life and Retirement Interest Only (RIO) mortgage ranges and the updates include:
Donna Barclay, Head of Credit at Marsden Building Society, commented: “We’re committed to understanding the evolving needs of our borrowers and are pleased to announce these significant changes to our lending policies, which will offer greater flexibility and accessibility.“Intermediary feedback plays a critical role in the development of our products and these changes have been implemented to address the needs and concerns of our brokers and their clients. We’re confident that our updated criteria will be popular with borrowers and will help make lending in later life a genuine option for more people."
As a specialist later life lender, we'll consider a wide variety of income when assessing affordability. This includes pensions, investment and rental income. The Society will also accept 5% of pension pots or SIPPs, even if borrowers are not yet drawing from them.
Employed and self-employed income will also be considered up to the age of 75 for Later Life mortgages. Please note that earned and self-employed income cannot be used on RIO mortgages.
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