Cambridge Building Society has introduced two new fixed rate Retirement Interest Only (RIO) mortgage products to its later life lending range.

The new RIO 2-year fixed rate and RIO 5-year fixed rate will be available to customers aged 55 years and over, with a maximum loan size of £750,000 and a loan to value of 55%.

The products sit alongside the Society’s existing RIO variable rate mortgage.

The Cambridge later life lending proposition also includes an interest only offering to age 80 and the removal of any upper age limit on a repayment basis. Undrawn pension pots and investment portfolios can also be used to aid affordability.

FLEXIBLE SOLUTIONS

Kathy Bowes, intermediary manager at The Cambridge, said: “Later life lending is an increasingly important area for our members and intermediary partners, as the number of older borrowers continues to grow and demand rises for flexible mortgage solutions that support their needs.

“Our purpose is to help people have a home and by enhancing our RIO range we are reinforcing our commitment to providing responsible, flexible mortgage solutions for the later life market.”