Accord Mortgages has changed its maximum term of 40 years and extended the age limit for applicants to 80 years old.
The lender says the move is in response to “growing demand for mortgages which accommodate the evolving profile of home owners and house buyers”.
Data from the Building Society Association (BSA) shows that 43% of new mortgages were for terms over 25 years in the first half of 2017 and between 2015 and 2017, there was a 162% increase in mortgages maturing between ages 79-84.
Nicola Alvarez, corporate account manager, proposition development at Accord Mortgages, said: “The needs of borrowers are changing and brokers have been asking for more options to help serve their clients.
“Longer terms can help improve affordability for first-time buyers to get the home they want and extending the maximum age takes into account increased life expectancy, people retiring later and parents and grandparents wanting to support the younger generation.
“We want our offering, combined with our common-sense approach to underwriting, to be as flexible as possible and provide a range of suitable products for brokers to consider with their clients based on their individual needs.”
