Skipton introduce 40 year mortgage

Wednesday 16 October 2019

Skipton International is extending the maximum term of its mortgages up to 40 years in a move which it says will further support islanders aspiring to own their own home.

It is hoped the move will help more first time buyers onto the property ladder.

Skipton claims to be the first Channel Island bank to introduce an extended term up to 40 years, an additional five years added to its prior mortgage term in response to recent increases in pension age. The maximum term on its mortgages will be available to those with at least 40 years remaining until retirement, supporting first time buyers and enabling more to move out of expensive rental accommodation.

Lorraine McLean, Mortgage Sales Manager of Skipton Mortgage Centre, said: “We are always exploring ways in which we can help more people own their own property, whether that is through parental guarantors with our Next Generation Mortgages or by offering competitive rates and terms across our products. Owning your own property is a huge financial commitment and this increase in maximum term will help more islanders become homeowners.”

Those eligible for 40 year term mortgages may now potentially be lent more, with Skipton calculating their lending on an affordability scale rather than purely on income. The current pension age in Jersey is 65 which will increase in increments to 67 by 2031, meaning the maximum term is on offer for customers aged under 27 years, with those aged now 27 – 31 also benefiting from the increase in mortgage term from 35 to 40 years.

Skipton International celebrates its 10th anniversary in the Channel Island this year, offering a wide range of mortgage products and offshore savings accounts. It’s award winning customer service and competitive products have led it become regarded as the mortgage provider of choice for first time buyers. 

Pictured top: file image.