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The age of the silver landlord? Number of older BTL mortgage applicants rises

There was a notable increase in the number of older buy-to-let investors in 2018, according to Commercial Trust Limited.

The specialist buy-to-let broker reports a rise in the number of people aged 65-75 applying for buy-to-let mortgages last year, up by almost 6% when compared to 2017.

The broker's analysis shows that for purchase-only applications, over 55s were responsible for almost 30% of business last year, up by around 8% on 2017 figures.


Meanwhile, across all buy-to-let purchases and remortgages last year, the over 55s accounted for 39% of all business, up from 35% the previous year.

Commercial Trust notes the trend for buy-to-let investment by older people has been recognised by lenders, with many banks increasing their maximum age for buy-to-let mortgage applications or the maximum age permitted at the end of a mortgage term.

For example, Santander recently increased its maximum age at the end of a mortgage term criteria from 75 to 85 years and the maximum term on its buy-to-let range from 25 to 40 years.


Meanwhile, Precise is allowing borrowers to finish a mortgage at 110 years old, while some lenders are now offering buy-to-let mortgages with no maximum age criteria.

"Our data indicates that many people, reaching retirement, are choosing to invest in bricks and mortar and the rental market, as a means to fund their retirement years," says Andrew Turner, Commercial Trust chief executive.

"Investing in property has the potential to deliver attractive rental yields and achieve capital growth, despite industry changes. I fully expect that the returns fair better than many other forms of investment."

  • S l
    • S l
    • 10 May 2019 10:42 AM

    Thats because they only heard about the income from rental but not the pitfalls and the possibility of getting criminal record for their ignorance and failure to comply with hmo rules and regulations. Wait and see what happens in a year or two.


    Good point.

  • icon
    • 10 May 2019 11:51 AM

    Very few of these oldies will bother to research what being a LL entails.
    They won't bother and will use a LA.
    So a new income stream for LA.
    Which will be good news for many struggling LA.
    Oldies you see simply can't be arsed!
    Many will be obtaining vast deposits from their own residential properties.
    So no S24 apart from a much smaller BTL mortgage.
    These oldies will be able to have 25% LTV
    Remember over 55 and you can now have an IO residential mortgage with no term end date..............death or a care home will pay off the residents mortgage.
    So remortgage to the maximum along with a smaLL IO BTL mortgage and hey presto rent income should cover all interest costs plus a bit extra.
    That is why the oldies are doing this.


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