In principle, there is nothing to prevent you from purchasing a mortgage at that age. But many banks will be reluctant to grant it to you.
When a bank grants a Mortgage, it is legally required to ensure that the borrower is able to pay the amounts owing each month for the duration of the loan. It is also a question of protecting the borrower and, if necessary, its heirs.
The question of sixty
Approaching sixty places you in a particular situation:
- On the one hand, you are close to the pension. By your 65th birthday at the latest, you will have retired. Because the legal pension is less than a salary, your income and therefore your ability to repay will decrease significantly. In principle, you received an estimate of your future pension when you were 55 years old. If this is not the case, you can always request a new estimate from the federal pension Service (this application can even be done online at mypension.be). This will give you a clear idea of your income and your ability to repay.
- On the other hand, you are statistically closer to the end of your life. In other words, borrowing for 20 years or more is more problematic. Asking for a 10-year loan will be more easily granted.
The provision of equity
Participating in the purchase by bringing funds that belong to you, will certainly be likely to reassure your banker. The amount to be borrowed will indeed be lower, the amount to be reimbursed each month less and the risk of the bank not being reimbursed less important. You will be more likely to get satisfaction.
And then the remaining balance insurance?
Contrary to common ideas, the remaining balance insurance is not obligatory. It all depends on the policy of the bank you are addressing.
But in any case, the subscription of such a cover can tilt its decision in your favor. However, remember that life insurance and your premiums will be higher because of your age. You should therefore be prepared to negotiate with your bank to convince them that this insurance is not absolutely necessary. Here too, the existence of significant equity can tilt the balance on your side.