More people are buying their first home in their mid-30s ¹ ². The old idea of retiring in your 50s with a final salary pension is becoming less common. 

As borrowers get older, their financial needs change. Many are now looking for mortgage options later in life, to boost retirement income, support family, or fund lifestyle changes. That is why lenders and advisers need to adapt. 

Understanding the needs of later life clients 

Older borrowers usually have different needs than younger ones. Here are a few important points to consider: 

• Income: Many rely on pensions, savings, or investments instead of a job. 

• Affordability: Monthly payments must be easy to manage. 

• Inheritance: Clients may want to unlock money from their home but still leave something for their family. 

• Health: Plans should allow for possible care needs and longer lifespans. 

• Attitude to risk: Old borrowers may be less willing to take interest rate risk and will benefit from longer term fixed rates 

Tailored mortgage solutions 

Perenna offers brokers a range of products to suit older clients: 

1. Retirement Interest-Only (RIO) Mortgages

• Clients pay only the interest, so monthly costs stay low. 

• The loan is paid back when the home is sold, the client moves into care or passes away. 

• No repayment vehicle is needed. 

2. Standard Residential Mortgages with Longer Terms

• Clients can get a full repayment mortgage well into later life. 

• Interest only mortgages are available where the borrower has a repayment vehicle. 

• There is no maximum age at application or at the end of the term, and we offer terms up to 40 years. 

• The mortgage can stay with the home and pass to beneficiaries. 

3. Downsizing and Moving Home

• Selling a bigger property and moving to a smaller one can free up money. 

• It also lowers living costs and helps clients stay financially flexible. 

Key considerations for brokers 

When advising later life clients, keep these points in mind: 

• Stay compliant: Make sure your advice follows FCA guidelines. 

• Check affordability: A full income and expenditure check helps find the right solution. 

• Educate your clients: Clearly explain how each product works, including any risks. 

• Get families involved: Including heirs in the conversation helps avoid confusion later. 

Final thoughts 

Perenna takes a modern approach to later life lending. Our products offer stability and flexibility, helping older clients make the most of their home’s value. 

Many are equity-rich but cash-poor. With the right support, they can enjoy life now — while they are still healthy and active, and still plan for the future. 

Written by Business Development Manager, Janet Frame. 

Correct at time of publishing.   

Footnote 

¹ Halifax First-Time Buyer Review 2024 – Average age of FTBs is now 33, the highest in two decades.
² TSB via This Is Money, April 2025 – Average first-time buyer now over 30 in all but one UK region. 

New to Perenna or just needed a refresh? Our recent Perenna Live webinar was a reminder of what makes us different and how you can place cases with confidence. 

Our National Account Manager, Deborah Reeves, and our Intermediary Support Manager, Graham Laverty led the session. They walked brokers through the basics such as who we can help, what our lending criteria is, and how to get started with Perenna. 

Who was it for? 

• Brokers looking for a quick criteria refresher. 

• Those who have not placed a case with us recently. 

• Anyone wanting to understand our flexible, fixed-for-term approach. 

What did we cover? 

In this session, we gave a refresher for brokers new to Perenna or those who have not worked with us in a while. 

We covered the core of the Perenna proposition: fixed rates for the entire term, no age limit, and a focus on long-term affordability. We also highlighted the types of clients we support, from high LTV first-time buyers to older borrowers and those with complex incomes. 

We talked about what incomes we accept like pensions, benefits, and money from abroad, and the types of deposits we accept. 

We shared real-life examples, such as gifted deposits, joint applications, and retirement income. During the live Q&A, brokers asked about foreign income, maximum LTVs, and lending to clients with UK travel documents. 

Did you miss it? 

Catch up anytime or connect with your BDM for support: 

• Visit our intermediary site for full criteria 

• Speak to your BDM to discuss live cases 

• Stay tuned for our next Perenna Live session, coming soon… 

We are proud to help brokers place cases with confidence. Brokers trust us because we respond quickly, make things easy, and offer flexible products that work for the long term, especially for clients with unique needs.

Correct at time of publishing.