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Mortgage If You Are Over 40?

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Trying to decide if we should buy at the moment and one thing my husband is saying in favour of it is that he will find it hard to get a mortgage if we wait much longer as he's just turned 40.

Is this true???

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Trying to decide if we should buy at the moment and one thing my husband is saying in favour of it is that he will find it hard to get a mortgage if we wait much longer as he's just turned 40.

Is this true???

Don't believe so, but you do have to reduce the term of the morgage cause they don't like lending past 65. Just save a bigger deposit for the crash I would humbly suggest. Then the cost of the morgage over a shorter period of time will probably be less anyway.

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We've got two young kids and he's worried about the instability of renting

Have you got a loving home? A good relationship with your partner? Well kept and fed kids? Have the time energy and interest to meet their life needs as well as your own?

These things are far more important that buying a house. The stability of your kids is dependant on your stability as a person, not the bricks and mortar underneath you. Just make sure you find a house where the landlord has long term rental expectations (older, more experience generally). When you do buy you are buying your degree of freedom as well as your stability, and you will be in a much better position to maintain them if you buy at an affordable price. A good friend of mine bought a house that almost killed her to maintain the morgage. Always scrimping and saving and buying the cheapest cuts and no deserts. Thankfully she let it go just before property prices took their second plunge in Australia. Loved the house and broken hearted to let it go but said the look on her kids face when he saw the fridge full of food just after selling was worth the sale. Bought again after the second wave of the crash at a price that is now no different to the cost of rent. You don't have to wait till the market bottoms out, but a morgage is for as long as you are in negative equity, not just for christmas.

Edited by Elizabeth

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A friend of mine who is 47 has just done it.Nice West Midlands house,and he borrowed the deposit.He has no savings,one income approx 30k before tax,and has managed to go to Ireland and America this year already.Mind you,as he is self employed I think the inland revenue has to wait.Incidently,this 3 bedroom house has 3 toilets!I wonder if the builder has been thoughtful in case IRs go soaring!

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Incidently,this 3 bedroom house has 3 toilets!

Ha, that's nothing: I was looking at a house for sale in Canada a few months ago that had four bedrooms and five bathrooms :).

As for age limits, with the government pushing up the retirement age towards 90 over the next few years, why would they worry about lending past 65? Particularly as house prices always go up, right?

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A friend of mine who is 47 has just done it.Nice West Midlands house,and he borrowed the deposit.He has no savings,one income approx 30k before tax,and has managed to go to Ireland and America this year already.Mind you,as he is self employed I think the inland revenue has to wait.Incidently,this 3 bedroom house has 3 toilets!I wonder if the builder has been thoughtful in case IRs go soaring!

I'm very slightly :-) over 40. I don't feel in a rush to get a mortgage. At present the occurrence or not of a house price crash will only make the difference of whether I pay off the mortgage in my mid 40s or early 50s.

Billy Shears

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We've got two young kids and he's worried about the instability of renting

I'm 39 and hubby is 43 years and we are renting. Sold up 2 years ago. Our daughter has just turned 5yrs.

Although I sometimes get "pangs" to nest build, I get over it pretty quickly when I do the maths on buying a property.! Its actually very nice not to have a mortgage!!. If prices come down we will buy and have a mortgage for a shorter term, or may end up leaving the country and buy abroad!!

Lou

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Nope, its not true.

As long as you can afford to pay back the mortgage by your retirement age, the banks will lend to you.

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I am also just over 40. We sold up last year initially to build our own eco home but we are saving so much money and as a result of no money worries our relationship has now improved so much my wife and I are happy to wait another few years. We have 5 kids and don't see any real stability issues. I travelled all over the world with my parents moving every two years until I was in my mid teens. I was a kid, thats how life was, I had no adult perspective of distruption. Don't use kids as an excuse.

Edited by 2112

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If you're having to retire later (75? 85?) then the banks will probably lend you a mortgage over a longer time. You're forced to have life insurance anyway to pay it if you die early anyway?

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If you're having to retire later (75? 85?) then the banks will probably lend you a mortgage over a longer time. You're forced to have life insurance anyway to pay it if you die early anyway?

It depends on the lender. Some insist you have life insurance as well as monthly payment protection, others are a bit more slack.

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Trying to decide if we should buy at the moment and one thing my husband is saying in favour of it is that he will find it hard to get a mortgage if we wait much longer as he's just turned 40.

Is this true???

Me im 44 this year and have been renting for last five years,got two kids,admitedly one is 16 and the other 21(going on fifteen) i am now so into the BENEFITS of renting and believe me there are plenty,that buying a house has become less and less of a priority as time has gone by.Best advise i can give is appreciate what a good position you are this house price correction WILL come do as i do and save all that extra money left over from not paying a bloated mortgage, invest it well and bide your time.Me maybe i have been lucky but my varied investments have made me far far in excess of what hpi has done over the last three years so IT can work out.Best of luck........................

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I am 32 & my other half is 46. I spoke to a financial advisor about this very thing a few weeks ago & he said that as long as we were borrowing a reasonable amount, then banks dont mind!! Not quite sure what they define as a reasonable amount these days but there you go!

In our case, he said that the main problem could be that if I have children, then they may look on things differently but he did think we would have many problems!! And this was through the co-op who have strict ethical policy and wont lend more than 3.75 times joint income!!

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  • 335 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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