Pensioner Bridging Loans

A bridging loan is a loan borrowed against a property to solve short-term financial requirements. This type of loan can be beneficial to a retired person, pensioner, or senior citizen who has a lot of equity in their property but little cash in hand. Acquiring a bridging loan will allow time for the purchase, move, and sale without any stress.

Maximum LTV:	Up to 80%, based on minimum £10k borrowing
Rate of Interest:	0.55%
Bridging Types Accepted:	1st or 2nd charge
Loan Duration:	Up to 3 years, maximum 1 year on regulated bridge
Interest Repayment:	Rolled up and added to the loan amount at end
Funds Availability:	Can be completed in as little as 2 weeks

When would you need a bridging loan:

• When you are looking to purchase another property but have your cash tied up in the current property,
• Chain break in property sales
• Temporarily to pay care home fees or any other fees.
• Quick cash release for various reasons until the property sells

You don’t want to lose the property you have found. You get a short-term bridging loan, which can be secured against your current property or both the current and the new property, depending on the level of equity available. The loan can also be secured against any other residential properties you may own.

The funds are given to you for up to 12 months, and there are no tie-in periods or exit penalties. When the property sells, you will repay the loan in full without incurring any penalties.

Can pensioners get bridging loans?

Pensioners can potentially access bridging loans, but eligibility often depends on various factors such as their income, assets, credit history, and the policies of individual lenders. Bridging loans are typically short-term financing options designed to cover temporary financial gaps, such as when waiting for a pension payout or the sale of a property. Some lenders may consider pension income as a source of repayment for the loan, but others may require additional collateral or proof of repayment capacity. It’s essential for pensioners to carefully assess their financial situation and explore options with different lenders to determine eligibility and suitability for a bridging loan.

Is there an age limit for getting a bridging loan?

Age limits for obtaining a bridging loan can vary among lenders and jurisdictions, but generally, most lenders do have age restrictions in place. While some may set a minimum age requirement, such as 18 or 21 years old, others may have maximum age limits, often ranging from 65 to 75 years old. However, some lenders may be willing to consider applications from older individuals on a case-by-case basis, taking factors such as income, assets, and repayment capacity into account. It’s crucial for potential borrowers to inquire with lenders directly to understand their specific eligibility criteria regarding age limits for bridging loans.

How can a bridging loan be used by pensioners?

Pensioners can utilise bridging loans for various purposes, including covering short-term financial needs while awaiting pension payments or the sale of a property. These loans can assist in bridging the gap between the sale of one property and the purchase of another, providing funds for a down payment, or securing a new home before selling their current one. Additionally, pensioners may use bridging loans to fund home renovations, medical expenses, or unexpected financial emergencies, leveraging their pension income as a source of repayment. However, it’s crucial for pensioners to carefully consider the terms, interest rates, and repayment plans associated with bridging loans to ensure they align with their financial circumstances and long-term goals.

Can an 80-year-old get a bridging loan?

Yes, it is possible for an 80-year-old to obtain a bridging loan, but eligibility largely depends on individual circumstances and the lender’s policies. Bridging loans are typically short-term financing options used to bridge the gap between the purchase of a new property and the sale of an existing one. While age might be a factor considered by lenders due to the repayment period and associated risks, some lenders may still offer bridging loans to older individuals based on their financial stability, assets, and repayment plan. It’s advisable for individuals in this age bracket to consult with financial advisors or mortgage brokers who can provide guidance on available options and help navigate the application process.

Can I get a loan at 70 years old?

Yes, it is possible to obtain a bridging loan at 70 years old, but eligibility will depend on individual circumstances and the lender’s policies. Bridging loans are typically short-term financing options used to bridge the gap between the purchase of a new property and the sale of an existing one. While age might be a factor considered by lenders due to the repayment period and associated risks, some lenders may still offer bridging loans to older individuals based on their financial stability, assets, and repayment plan. It’s advisable for individuals in this age bracket to consult with financial advisors or mortgage brokers who can provide guidance on available options and help navigate the application process.

Can I remortgage my house at 60?

Yes, it’s possible to remortgage your house at 60, but eligibility will depend on various factors, including your financial situation, credit history, income stability, and the lender’s policies. Many lenders offer remortgage options to individuals in their 60s, as long as they can demonstrate affordability and meet the lender’s criteria. However, it’s essential to consider the potential impact on retirement plans and ensure that the new mortgage terms align with your long-term financial goals. Consulting with a financial advisor or mortgage broker can provide personalised guidance on whether remortgaging at 60 is a suitable option for your circumstances.

Which lenders lend to people aged 75?

While there’s no legal maximum age for bridging loans, some lenders stop offering them entirely around 70–75. However, some lenders will consider borrowers up to 75 and even 80, with factors like strong income, good credit, and a sizeable down payment being key. It’s best to shop around to find lenders who cater to older borrowers and can offer competitive rates.

We work with a panel of specialist lenders who assess each case, and we work with them to find the best bridging product for all scenarios.

Key features of our bridging loans

• It can be on a 1st charge or 2nd charge basis. A second charge is a charge on the property in favour of a lender. The first charge is usually your mortgage lender. In the event of the property being sold, the first charge lender will get their share first, and the remaining balance will go to the second charge lender, and so on.
• You can borrow from £10,000 upwards.
• We have lenders on our panel who have no upper age limit.
• There are no tie-in periods or exit fees.
• There are no monthly payments as interest is compounded or rolled over.

Please look at our bridging loan calculator to see what the rates are and how much it would cost you. Alternatively, please call one of our bridging loan specialists on 0116 464 5544, who will take your details and provide you with a non-obligatory quote.

As everyone’s individual circumstances vary, it is very important that the decision to borrow any money be made after careful consideration. Please note that your property can be at risk of being repossessed if the loan is not repaid within the agreed-upon time frame.