The Marsden Building Society has become the latest lender to move into the Retirement Interest Only (RIO) mortgage market.
The products are in addition to the mutual’s existing range of Older Borrower options.
The Marsden’s latest lending solution is available to applicants over the age of 55 who are looking for an interest only mortgage with no plans to downsize and who wish to remain in their home.
The RIO offering launches with a three-year fixed rate 3.49% available to 50% LTV through sourcing systems for all intermediaries.
Steve Robinson from the Marsden, said: “We feel it’s a strong addition to our lending solutions and partners well with our Older Borrower range supporting more customers over the age of 55 with mortgage options in retirement. The product set is available for remortgage and house purchase with mortgages up to £750,000.
“The range differs slightly from our existing Older Borrower range as each borrower must demonstrate affordability and the sole option for repayment is triggered by a life event which sees the sale of property being the repayment solution.
“We’ve created another section on our website for the RIO and developed tailored toolkits including criteria and product portfolios so that brokers have access to everything they need.”