2. Options at Your Disposal:

• Extend Your Mortgage Term: If paying off the mortgage in full isn’t feasible, ask your lender to extend the term. This may involve an affordability assessment but can give you additional years to settle the remaining amount.
• Remortgage: Explore new deals with different lenders. Consider switching to a repayment mortgage, where you pay both the capital and interest.
• Release Equity: If your property’s value has increased and you’re over 55, consider releasing equity. This means no more mortgage payments, but the released funds come in the form of a lifetime loan that must be repaid upon your passing or if you require care.
• Retirement Interest Only mortgage (RIO): Available to over 55’s, a RIO is a loan secured against your home and you pay interest each month, meaning the amount you owe doesn’t increase overtime. This could be the best option for you, but it’s important to discuss with your adviser to explore your options
• Downsize: If you have a larger property, think about moving to a smaller one. Use the additional funds from the sale to pay off your mortgage.

3. Overpayments on Interest-Only Mortgages:

• Yes, you can make overpayments on an interest-only mortgage.
• Unlike repayment mortgages, where overpayments directly reduce the capital sum, interest-only overpayments usually reduce future interest payments.
• Some lenders allow overpayments to reduce the capital owed, but this is typically arranged with your lender.
• Be aware of any restrictions or early-repayment charges