Can I Get a 25-Year Mortgage Term at Age 55?

Understanding Mortgage Terms for Older Borrowers

As people approach their mid-50s, they often start considering how long they want to continue holding a mortgage. A common question is whether it's possible to secure a 25-year mortgage term at the age of 55. The answer isn't straightforward, as it depends on several factors, including lender policies, your financial situation, and retirement plans.

Lender Policies and Age Restrictions

Many lenders have specific age restrictions when it comes to mortgage terms. Typically, lenders prefer that the mortgage is paid off by the time the borrower reaches a certain age, often around 70 or 75. This means a 25-year mortgage term might not be feasible if you start at age 55, as it would extend beyond this age limit.

However, some lenders are more flexible, especially if you can demonstrate a stable income or significant assets. It's crucial to shop around and consult with different financial institutions to find the best terms that suit your situation.

Financial Considerations

Your financial health plays a significant role in determining your eligibility for a longer mortgage term. Lenders will assess your income, credit score, and existing debts. A strong financial profile can increase your chances of securing a favorable mortgage term, even at an older age.

Additionally, consider how your retirement plans might affect your ability to meet mortgage payments. If you plan to retire before the mortgage term ends, ensure you have a clear strategy in place to continue payments without relying solely on employment income.

Alternative Options

If a 25-year mortgage isn't feasible, there are alternatives. A shorter-term mortgage can be an option, though it typically results in higher monthly payments. This can be manageable if you have a steady income or other financial resources.

• Consider refinancing an existing mortgage to adjust terms.
• Explore interest-only mortgages, though these come with their own risks.
• Look into reverse mortgages if equity release aligns with your financial goals.

Seeking Professional Advice

Before committing to any mortgage arrangement, taking tailored advice is essential. At Mortgage321, we assess your full financial picture — income structure, future retirement plans, pension provision, and lender criteria — to ensure the solution fits both your immediate objectives and long-term strategy. Later-life borrowing requires more than simply securing a rate; it requires structured planning.

Securing a 25-year term at age 55 can certainly be achievable, but it depends on the lender’s maximum age policy, affordability assessment, and how income will be evidenced into retirement. A clear plan for pension income, investment drawdown, or business exit strategy will often form a key part of the application.

By reviewing all available options — including standard residential lending, retirement-interest-only products, and specialist lenders with flexible upper age limits — we can structure borrowing that remains sustainable well beyond today’s circumstances. Careful planning now ensures your mortgage continues to support your financial wellbeing throughout later life.

Considering a mortgage later in life? 

Speak with a specialist adviser at Mortgage321 for a tailored assessment of your borrowing options. We’ll review your income, retirement plans and lender criteria to structure a solution that works both now and long term.