Aldermore has raised the maximum age that borrowers can lend on home loans until the end of their mortgage term to 75. 

The specialist bank says residential customers can borrow up to age 75, or their declared retirement age, whichever is lower, for capital repayment mortgages.   

It says: “This change will give people the option to spread their payments over a longer term, supporting affordability and the current cost of living pressures.” 

Borrowers must be 55 years or younger on application and the lender’s rules will continue to apply to the eldest applicant for joint applications.     

The firm will continue to base its affordability test on the applicant’s working income and any retirement income that they may already receive. 

Aldermore head of strategic partnerships and growth Nicola Goldie says: “This has been a challenging year for homebuyers with higher interest rates and increased market uncertainty.  

“The changes we’re continuing to make are focused on supporting those who need help in finding the right solution for their needs.”   

In July, Halifax lifted the maximum working age used in its mortgage terms to 75 from 70 for employed and self-employed customers.

John Charcol technical mortgage manager Nicholas Mendes adds: “Aldermore are the latest lender to increase their maximum age criteria, following the likes of HSBC and Halifax earlier in the year. 

“First-time buyers and existing mortgage holders are continuing to work for longer and later in life than previously, and seeing a lender like Aldermore reflect their criteria is a welcomed addition to the club.”