Older borrowers stretch terms: 35-year-plus mortgages for over-36s up 251% since 2019

Freedom‑of‑Information data obtained by Quilter show 30,338 borrowers aged 36 + opted for terms of 35  years or longer in 2024, compared with just 8,629 in 2019—a 251 % jump. The sharpest annual rise came in 2021 as higher rates squeezed affordability. By contrast, 31‑ to 35‑year‑olds increased long‑term borrowing by a more modest 56 % over the same five‑year window.​

Our take: Stretching the term beyond state‑pension age has become the favoured affordability lever now that median two‑year fixes still hover around 4.4 %. Lenders with generous age‑at‑term‑end policies (75–85) are poised to capture this business, but advisers should build robust exit plans—regular overpayments, downsizing options or pension‑linked repayment strategies to avoid storing up later‑life risks.

Source: Mortgage Solutions

Rightmove posts steepest July asking‑price dip in 20 years, trims 2025 outlook to +2 %

Rightmove’s July House Price Index shows the average asking price fell 1.2 % to £373,709, the largest July drop since records began in late 2021. London led the retreat (‑1.5 %, with Inner London at ‑2.1 %), while the North East bucked the trend with a 1.2 % rise. Despite the softer pricing, buyer activity remains firm: sales agreed are 5 % higher and buyer enquiries 6 % higher than a year ago. In response, Rightmove has cut its 2025 price‑growth forecast from +4 % to +2 %.​

Our take: With stock at decade highs, motivated sellers are pricing keenly—giving buyers room to negotiate but prompting valuers to tighten high‑LTV assumptions outside buoyant regions like the North East. Build in a contingency on purchase cases pushing 90–95 % LTV over the summer.

Source: Rightmove

Where are mortgage rates now?

Funding costs edge higher at the longer end

Source: Chatham Financial

  • Short‑end relief continues: one‑year swaps are almost a full percentage point lower than a year ago, keeping two‑year mortgage fixes attractive for borrowers expecting cuts in the Bank Rate over the next 12–18 months.​
  • Mid‑curve creep: two‑ to five‑year funding is up around 3–8 bp on the month, hinting that the latest lender price‑cutting cycle may soon run out of steam.​
  • Re‑steepening backdrop: ten‑year and longer swaps have risen and now sit above 4 %, reflecting stickier long‑run inflation expectations and heavy gilt supply.

What this means for borrowers

  • Prime 60 %-LTV pricing ticks up: Rightmove’s weekly tracker shows average 60 %- LTV two‑year fixes at 3.91 % and five‑year fixes at 4.02 %, both up 7 bp week‑on‑week but still 17–69 bp cheaper than a year ago.​
  • Wider market steadier: across all LTVs, average two‑ and five‑year fixes remain just under 5 %, fractionally down on the week.​
  • Base Rate on hold at 4.25 %: the Bank of England kept rates steady in June, with the next decision due on 7 th August. Markets still price in two quarter‑point cuts by year‑end, limiting the upside for short‑dated swap rates.

This article is based on information available on the date of issue, 28th July 2025.

Disclaimer: The views and opinions expressed in this content are those of the author and do not constitute financial, legal, or professional advice, nor should they be interpreted as a recommendation. They do not necessarily reflect the official views, policies, or positions of Private Finance, and are not intended to represent broader market or industry perspectives.

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