A third of homeowners will still be repaying their mortgage when in their sixties
A third of homeowners with repayment mortgages will not finish repayments until they reach their retirement years, according to research by Ocean Finance.
The findings show that 31.7% will not have finished paying off their mortgage until the age of 61 or over. Nearly one in 20 (4.5%) will be aged over 70.
Customers living in the East Midlands are most likely to still be paying off the debt when they are over 61 years old (18.7%), while residents of the South West are the most likely to have paid off the entire debt, with just 7.8% of mortgage holders here set to still be making repayments past their 61st birthday.
Ian Williams, spokesman for Ocean Finance, says: "It's great that most people will have repaid their mortgage before they retire, but the fact that nearly one in three mortgage customers will still be repaying it once they're aged over 61 is worrying.
"Not long ago, most homeowners would have paid off their mortgage by the time they reached their 50s and so could enjoy living a few years mortgage-free before they retired, or even choose to retire early. But as the average age of first-time buyers continues to rise, millions are now in a situation where they won't have finished repaying their mortgage until they're about to retire.
"For those that can afford to do so - and where the provider allows it - overpaying the mortgage each month can knock years off the term of your mortgage, which could help ensure it is cleared well before your planned retirement date."