Why would a senior citizen apply for a mortgage? Well, it could be for any number of reasons, such as downsizing to a newer home in a senior community with many amenities, moving closer to friends or family, or investment purposes. And as a result, you will find senior citizen homebuying programs on the market today.
Like anyone else in search of a mortgage, it all comes down to income, credit record and savings. Seniors are also protected against age discrimination by federal law.
Following are some bullet points related to senior citizen homebuying programs:
- The loan term for a mortgage can vary, although 30 years is typically too long for most seniors in search of a mortgage.
- Seniors may find it easier to acquire a mortgage than, let’s say, someone right out of college. The reason? Not age, but credit history!
- People are living longer, and as a result, we’re seeing more and more seniors applying for mortgages every year. It’s a trend that’s not likely to change anytime soon.
One final word of advice: Beware of predatory mortgage lenders who prey on the elderly! There are all kinds of unscrupulous people out there looking to take advantage of a situation, and the mortgage industry is no exception to the rule. When in doubt, contact The Olear Team for advice and industry referrals.