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RIO mortgage calculator

See how much a RIO mortgage could allow you to borrow in your retirement, based on your income and making regular monthly interest only payments.

Retirement Interest Only (RIO) Mortgage Calculator

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Checked for accuracy and updated on 27 June 2023

How to use the retirement interest only mortgage calculator

To get an idea of the maximum you could potentially borrow with a retirement interest only mortgage (RIO), you simply need to input the value of your property, the age of the youngest homeowner (which must be at least 50) and your postcode (to understand where you live) – as these are some of the criteria that lenders use when deciding how much money you can borrow.

An introduction to retirement interest only mortgages

RIO mortgages have been specifically designed to help homeowners whose current interest only mortgages are coming to an end and to help carry them forward into retirement. RIO’s can offer an alternative to equity release, where disposable income is available to meet regular lifetime monthly payments.

RIO’s work in the same way as an interest only mortgage, whereby the accruing interest on the amount borrowed is repaid each month. However, the main difference is that RIO’s have no end date, or fixed term. As a result, RIO’s and interest only mortgages differ in the way the loan is repaid. With a conventional interest only mortgage, the balance is repaid at the end of the term agreed with the lender. With a RIO mortgage, the balance is repaid in the same way as a lifetime mortgage, which is when you die or move into long term care.

RIO mortgages are typically offered by smaller building societies and it’s important to remember that they are residential mortgages. Which means that you must pass the lender’s affordability checks to qualify and your home may be repossessed if you don’t keep up your monthly interest repayments.

Want to compare RIO mortgages?

If you’d like more information on the range of retirement interest only mortgages that are currently available, then feel free to use our unique comparison tables where you can also request your own personalised Key Facts Illustration.

You’ll be able to see the mortgage interest rates, along with features and any offers from all the lenders across the RIO marketplace.

Compare RIO mortgage deals

These are retirement mortgages for the 50+ homeowner, based on income, credit rating and affordability. This RIO calculator does not base the results on affordability and therefore should only be used as a guide. Your home may be repossessed if you do not keep up repayments on a RIO mortgage. To understand their features, benefits and risks, please contact us for your personalised, key facts illustration. All RIO quotes can be tailored to your own circumstances and you are under no obligation to proceed.