Home loan after 50


Why is it a disadvantage to go for a home loan after 50?


When you opt for a home loan after you have crossed 50 years, you may only get a shorted tenure as banks are reluctant to offer loan where the tenure ranges into an age where the borrower is not working. So if at 50 you opt for a home loan, the maximum loan tenure
you may possibly get is between 10 to 15 years at best or even lower.


Hi Aswani,
The first disadvantage is that most lenders will be very reluctant to give a Home Loan to someone who is nearing retirement. Your income after retirement will be negligible and hence your repayment capability will come into question. Even if lenders provide a loan, the tenure of the loan will be very low. This means that the EMI will be high. A high EMI in your 50s will lead to you compromising on your retirement investments. It might become a hindrance and prevent you from meeting goals such as child’s higher education. Here’s and article with more information - https://blog.bankbazaar.com/getting-a-home-loan-in-your-50s/.
BB Expert