Categories: Market update

Mortgages won’t be paid off by age 65

Research (1) has found that 32% of mortgage holders do not think they will
pay off their home loan by 65.

Looking at retirees, one in 10 still had mortgage debt when they stopped
working. The average mortgage debt outstanding at retirement was £38,000.
Almost two-thirds (63%) of those who retired with an outstanding home loan
debt had to pay this off using their pension.

David Stevens, Director of Savings and Retirement at LV= said, “High inflation
combined with longer mortgage terms means that more people will be forced to
continue paying mortgages during retirement. This could result in less
discretionary income for pensioners to spend on the more enjoyable things they
had in mind for their retirement.”

Your home may be repossessed if you do not keep up repayments on
your mortgage

(1) LV=

Jake

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