The number of people aged 36 and over taking out mortgages with a term of 35 years or more has increased by 251% in the five years to 2024, Quilter has revealed.

New freedom of information data from the Financial Conduct Authority (FCA), which was analysed by the wealth manager and financial adviser, found that in 2024, 30,338 mortgages with terms of 35 years of more were sold to people aged 36 and over.

This compared to 8,639 mortgages sold to people of the same age in 2019.

Quilter also found that there has been a 56% increase in the number of borrowers aged 31 and 35 taking out these loans.

The firm said that this shift reflects broader affordability challenges in the UK housing market, with high property prices and increased interest rates making monthly repayments more difficult to manage, prompting many borrowers to extend their mortgage terms.

Quilter added that the trend towards longer mortgage terms among older borrowers highlights deeper structural issues, including delayed homeownership, limited housing supply and the growing gap between income and housing.

Mortgage expert at Quilter, Zara Bray, said: "The jump in older borrowers opting for ultra-long mortgage terms highlights just how stretched affordability has become but doesn’t necessarily need to be viewed negatively. Given the majority of mortgages are supported by a mortgage adviser, this is a positive example of advice enabling customers to remain in their homes during difficult macroeconomic conditions.

"Extending your mortgage past retirement age may be a sensible lever to pull in the short term, allowing other assets to remain invested. However, the key to avoiding challenges with a long-term mortgage later in life is to regularly speak to your adviser, as they will be actively scanning the market for improved rates or new innovative products that address the affordability strain – providing more options at the end of your fixed term.

"Remortgaging to a better deal when interest rates fall or your loan-to-value improves can lower monthly repayments or allow you to switch to a shorter term. For those approaching retirement, it’s worth exploring whether downsizing or using pension drawdown strategies could help manage repayments more sustainably."

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