Halifax has announced its intention to reduce the maximum age for mortgage applicants. If the changes come into effect, Greycoat specialists comment, the maximum age for the applicants will change from 75 years to 70 years old; meaning the amount of time one can borrow will reduce by five years.

Greycoat Real Estate found out that the bank would continue to use 75 years as the maximum age for all other applications which they suggest would apply to the majority. Other major banks set their maximum mortgage age at 75, except Barclays Bank, with the lowest age limit of 70 years.

Greycoat explains more on this concern. Adrian Lowery, who is a financial analyst, noted that Halifax is now seeking to offer mortgages in a way that is not perceived as risky. Borrowers are expected to explain when they intend to retire and how they intend to repay as a way of preventing applicants from taking more than what they can pay back. 

According to the Greycoat real estate agents, coming up with tight measures will give the borrowers some flexibility to keep making their repayments on time (CoStar).

Due to the increase in loan rates, many borrowers are likely to reduce the length of their terms and increase their monthly repayments. Marathon repayment is now popular as it helps to keep monthly costs down. Get in contact with Greycoat real estate agency for more guidance and wise investment advice.