Do you have an interest-only mortgage that is due to be repaid?

Homeowners who currently have an interest-only mortgage that is due for full repayment, may be shocked to find out that they cannot extend their mortgage and their lender wants the loan to be repaid in full.

Ideally, anyone in this position will have been setting aside money to repay the mortgage when it’s due to be fully repaid. But, the reality is that most of us don’t live in an ideal world and therefore many people are left with the worry of how they are going to repay this debt.

What can you do?

Just because your original lender will not allow you to extend your mortgage or take out another one, doesn’t mean that other lenders will not be able to help.

If you took out your mortgage over 25 years, which was common in the 1990’s and early 2000’s, many of you many of you will be over 50 when the mortgage comes to the end of its term. Some of you may be much older and unfortunately, many borrowers are of the belief that they will not be able to get a new mortgage because of their age.

For anyone in this situation, they should speak to an independent mortgage adviser.

Mortgage advisers have access to very many lenders, some of which are not available to go to direct by the general public. Also, there are many more schemes available now to older borrowers than you may realise, so it’s always worth speaking to an independent adviser such as us so that they can explore all options that might be available to you.  

The reality is that more people than ever are borrowing into their retirement to pay for their home resulting in lenders developing new products to cater for the ever-changing market.

So, what are you waiting for? Plan ahead and get some advice sooner rather than later.

Do you need help?

If you require help as your interest only mortgage is coming to an end and you have no means to repay it, then please give us a call at Southern Mortgages on 01702 746811 or contact us here and one of our experienced advisers will be happy to help you.