Age discrimination from buy to let mortgage lenders?

by Readers Question

21:32 PM, 26th July 2013
About 7 years ago

Age discrimination from buy to let mortgage lenders?

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Age discrimination from buy to let mortgage lenders?

Last year I was in the process of identifying a good interest only re-mortgage – nothing out of the ordinary – just over 55% LTV; bags of rental cover, clean title and excellent credit score – By the time I was ready to move I had reached 70 years of age and all of a sudden every option on the high street fell apart because of it.

The CML office told me it was unlawful for their members to discriminate in this way and that they shouldn’t do so; but in the next breath said they had no control over their members on this matter and couldn’t (most likely wouldn’t) say where to complain to

I eventually had to resort to a commercial mortgage where everything is substantially more expensive with no freebies like valuation; legals, etc.

I think I understand how this scenario came about (viz. on the back of Central Gov’s fear of a interest only bubble in the residential market) but for it to cross overto BTL is sad and of course discriminatory.

By the way, I’ve been a Landlord for over thirty years (12 tenancies) – do everything myself; never had to evict; and seldom had a problem with arrears (touch wood)

Cheers

Mike Jones Age discrimination from buy to let mortgage lenders



Comments

sam

14:26 PM, 3rd August 2013
About 7 years ago

Mike

I am with you on this one. My current mortgage term expires on the day I turn 70.

Have you spoken to any of the landlords associations ?
Or complained to the regulator ?

Wonder what would happen if and when the regulators catch up with the lenders who are discriminating by age. I would have thought a huge fine would be in order.

Neil

My wife says I am naive - but wont that be a blatant breach of the law ?
It is one thing breaking the law through ignorance. Quite another to break it deliberately and knowingly. I would have thought it will surely come out one day and the compensation and penalty could well sink the lenders.

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