Is 60 the new 50?…

Interesting stuff from the CML (Council for Mortgage Lenders) – “Better finance for older borrowers could help unlock housing stock for younger people.”

The trade body analysed its lending data and found what many have long known – the older generation hold most of the housing equity while their younger counterparts have most of the debt.

Their research suggests better mortgage products to allow older people to borrow to downsize and release equity that can then free up housing further down the ladder.

“As people get older”, the CML says “there are now different needs for finance”. The research says: “For a progressively longer-living population, 60 may be the new 50, if not the new 40. A natural part of this welcome progression is that there will necessarily be more and more of the mortgaged population in this ‘younger older’ age bracket. And they will want to continue to access mortgage credit for a variety of reasons.

“Innovation that removes barriers… could have effects throughout the housing market for everyone from first-time buyers through to last-time sellers…”