Fresh hope for home win

RISING interest rates are hitting the growing number of older homeowners with mortgage debt in retirement and many risk losing their homes if they cannot afford to service the loan.

- Harvey Jones

With the Bank of England expected to hike rates for the 14th time in a row to 5.25 per cent tomorrow, the pressure will intensify.

Older borrowers nearing the end of a fixed-rate deal face standard variable rates of up to 8.45 per cent unless they remortgage to a best-buy deal.

Finding a lender is harder as you get older but struggling homeowners do have options. It is now easier to get a traditional mortgage in later life as long as you have the income to service it, said Chris Sykes, technical director at brokers Private Finance.