Britons facing working past pension age due to high interest rates on long-term mortgages

From Sky News: 2024-06-22 09:08:16

Many Britons face working past pension age to pay off long-term mortgages, with high interest rates of up to 6.8% causing monthly payments to soar. Nearly half of recent mortgages are for 30+ years, leaving homeowners worried about funding retirement and anxious about health impacting work and mortgage repayments.

Some homeowners plan to downsize or hope for inheritance to pay off mortgages before retirement. Mortgage brokers report more clients expecting to work past 70 to settle debts, as lenders raise age caps on mortgages. Shorter mortgage terms are advised to reduce interest payments, but many opt for longer terms due to financial constraints.



Read more at Sky News: Money blog: ‘My anxiety levels are rocketing’ – the mortgage chokehold facing old-age Britons | UK News