A mortgage for those over 57? Here are the options.

Retirement income is usually lower than income during your working life, which can affect your mortgage options. Lenders take retirement income into account when calculating the maximum mortgage as early as ten years before retirement age. This means that people age 57 and older with a lower retirement income face a lower maximum mortgage. Still, lenders are happy to think with you and there are several schemes.

We list the most important options for you:

One possible option is to take advantage of the excess value on your home. Over the years, many homes have increased in value. On top of that, many seniors have often paid off a significant portion of their mortgage. Under certain conditions, this surplus value can be used, for example, to make a home life-proof, to purchase a vacation home, or to supplement retirement.

The NHG (National Mortgage Guarantee) offers opportunities for people over 57 who want to take out a mortgage when they move house. Lenders in that case can assume the actual living expenses, provided that the mortgage interest rate is fixed for at least 20 years. The monthly charges of the new mortgage must be the same or lower than those of the old mortgage. This regulation offers, for example, the possibility of taking out a partially repayment-free mortgage.

The limit for the NHG stands at €435,000 in 2024. This means that a house cannot be more expensive than €435,000 to qualify for NHG.

Many municipalities and counties offer stayer and cash-out loans. A stayer loan allows you to live independently for longer, while a cash-in loan gives you the leeway to use some of the excess value to supplement your retirement. These loans are attractive because the monthly costs do not increase, and the interest is added to the mortgage debt and settled when the home is sold.

Learn more on the SVn site.