Suffolk Building Society research finds brokers are well placed to challenge misconceptions about later-life lending
Nearly two thirds of brokers say their older clients still assume that all lenders apply age restrictions, according to new research from Suffolk Building Society – even as demand for later-life lending continues to rise.
The survey, which polled 262 mortgage brokers via email between July and August, found that 60% had seen an increase in later-life enquiries over the past 12 months, with only 3% reporting a decline. Yet the same research reveals that widespread misconceptions among older borrowers remain a significant barrier – one that brokers are well positioned to address.
The findings come as the Financial Conduct Authority (FCA) conducts a market study into later-life mortgages, with initial findings due by the end of 2026. The review covers consumer understanding, advice quality, product suitability and fair value, and barriers to access in the lifetime and retirement interest-only mortgage sectors.
What are older borrowers getting wrong?
Suffolk's research sets out the scale of the misconception gap in detail. Beyond the 64% of brokers who said clients assume age restrictions apply across the board, 57% said clients believe equity release is their only route into borrowing later in life. A further 55% had worked with clients concerned about securing a sufficiently long mortgage term, and 54% said clients were unaware of the different ways affordability can be evidenced, including through pensions and investments.
Charlotte Grimshaw, head of intermediaries at Suffolk Building Society in Suffolk, said the gap between borrower perception and market reality represents a direct opportunity for brokers.
"Borrower perceptions have not necessarily kept pace with the innovation we've seen in the mortgage market," said Grimshaw. "If many over-55s still assume their age will count against them, then now is the time for brokers to challenge those outdated views and help clients understand the options widely available."
Why borrowers are seeking mortgages later in life
The research also maps the range of reasons behind rising later-life enquiries. Reaching the end of an existing mortgage term without being ready to repay in full was the most commonly cited driver, reported by 66% of brokers. Remortgaging and raising money to help family members – for example through a gifted deposit – were each cited by 47% of brokers.
Other frequently reported reasons included funding home improvements or consolidating debt (43%), and a significant life event such as divorce prompting a need to borrow for a longer term (31%).
The breadth of those motivations points to a market that has grown more complex alongside an ageing population. According to the Equity Release Council's 2025 market data, total lending in the equity release sector reached £2.57 billion in 2025, up from £2.3 billion in 2024 – an 11% annual increase.
Brokers can build a growing revenue stream
Grimshaw said the data reflects a structural shift in who is applying for mortgages, and urged brokers not to wait for older clients to rule themselves out before raising later-life options.
"Rather than waiting for older borrowers to rule themselves out, brokers can start the conversation about later-life lending, explain how lenders assess retirement income and other assets, and show that being over 55 is not, in itself, a barrier to borrowing," said Grimshaw. "In fact, some older borrowers may present a more reliable lending proposition than they realise and a valuable revenue stream for brokers."
Suffolk said half of its own mortgage applications now come from borrowers aged over 55 – a figure that underlines how far the market has moved, and how significant the opportunity is for brokers engaging with later-life lending as a specialism.
The Association of Mortgage Intermediaries (AMI) has been engaging with the FCA on the study since the Terms of Reference were published. Its chief executive, Stephanie Charman, said the involvement gave the trade body an opportunity to influence industry practice as advisers guide clients through increasingly complex later-life decisions.
Research from the Equity Release Council has found that four in five advisers expect further growth in later-life lending in 2026, yet the proportion qualified to advise on later-life products remains small relative to the broader market – a gap the FCA study may need to weigh alongside the consumer misconceptions Suffolk's research describes.
"Borrowing later in life is increasingly becoming the norm – half of our applications now come from people aged over 55 – and the reasons for doing so are as varied as the borrowers themselves," said Grimshaw. "For brokers, that presents multiple possibilities. By helping older clients understand that they may have more options than they realise, and that age alone does not have to stand in the way, brokers can build stronger relationships, tap into a growing area of the market, and feel good about what they're doing at the same time."
