It updates its lending criteria, offering better loan accessibility and maximum age limits
Marsden Building Society has updated its affordability model to enable mortgage customers aged 55 to 85 to secure higher loan amounts than previously available.
The recent modifications are part of ongoing adjustments to the society’s later life and retirement interest only (RIO) mortgage criteria, designed to enhance accessibility for later life lending.
Under the revised terms, borrowers can now access income multiples of up to five times on pound-for-pound remortgage cases involving later life and RIO products, contingent on meeting affordability checks. This arrangement applies only to the outstanding principal of the loan, with associated fees not included.
As part of the latest changes, the maximum age limit for obtaining a later life mortgage has also been increased to 90 at the end of the mortgage term, and earned income will be accepted until the age of 75.
The minimum equity requirements for borrowers considering downsizing will be evaluated on a case-by-case basis at the application stage, depending on the underwriter’s assessment.
“We’re committed to supporting borrowers in later life who are seeking mortgage solutions for a variety of reasons, including helping family members achieve their homeownership goals,” said Donna Barclay, head of credit at Marsden Building Society.
“As part of our commitment to later life lending, we’re regularly reviewing our criteria to meet the evolving needs of our members. By making these key changes, we hope to make lending in later life more accessible to more people.”
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