You can secure a home loan even in your retirement years – Here’s how

financialexpress.com:

Approaching a home loan in your retirement years might seem difficult, but it is possible. To enable senior citizens in India to become homeowners, it is essential to simplify the home loan procedures to accommodate their specific financial situations. Taking steps to customize loan terms, lower interest rates, and add flexibility to repayment choices can enhance accessibility to home loans for this particular age demographic.

The primary reason senior adults are often denied credit is the lack of a steady income. It is widely recognized that lenders in the country take into account factors such as income stability, which can often be influenced by retirement.

However, a positive shift is happening as banks are becoming more lenient and offering assistance to senior citizens. This is a reassuring development. Let us take a closer look at the various options that are accessible to elderly individuals who wish to obtain a home loan.

Also Read: Retire Rich: How to retire with a corpus of over Rs 1 crore

Several mortgage options are available for seniors and those nearing retirement, each with its advantages and disadvantages. The Indian financial system also caters to the elderly, although these loan options often come with strict restrictions or high interest rates due to the associated risks. Here are the home loan options available to senior citizens, including:

Regular home loan: Many banks offer home loans to senior citizens with slightly higher interest rates compared to those for working professionals. The eligibility criteria are stricter, emphasizing income stability. Loan terms are typically shorter (up to 15 years), and the maximum loan amount is lower (up to 60-70% of the property’s value).

Pensioner loan: Regu