Retirement Interest Only (RIO) Mortgages

Our retirement interest only mortgage (RIO Mortgage) option is a flexible solution for older borrowers who’d like an interest only mortgage, with no end date. Find out how it works, here.

Who is eligible for a RIO Mortgage?

If you’re looking to mortgage your home and can afford to make interest payments each month, a RIO mortgage might be what you’re looking for. RIO mortgages are designed for older borrowers who can afford to make monthly interest payments, and who’d like the peace of mind that their mortgage is in place for life. Our RIO mortgage range is flexible and it might suit you, even if you’ve ruled out similar options in the past. 

What is a RIO mortgage?

RIO mortgages are interest only mortgages. Introduced by the Financial Conduct Authority in March 2018, Retirement Interest Only (RIO) mortgages were created for mature borrowers who want the security of a mortgage with no end date, who can keep up with the interest payments each month. Unlike other mortgages, you won’t repay the loan until you move into long-term care or pass away.

With a Hodge RIO mortgage, you can borrow up to 75% of the value of your home and only need to pay back the interest each month. This allows you to unlock value in your home to do things like pay off debts, support family members, fund your lifestyle, make home improvements, or even go on a dream holiday.

Benefits of a retirement interest only mortgage

RIO isn’t just for retired people

The interest-only mortgage was designed for people over the age of 50 in mind but are ideal for those who aren’t looking for an end date.

Fee-free applications are par-for-the-course with Hodge

It’s free to apply for retirement interest-only mortgages.

Up to a maximum LTV of 75%

The loan-to-value is 75%, which means your loan is for 75% of the home's value.

Take advantage of our Early Repayment Promise

The Hodge Early Repayment Promise gives you peace of mind, knowing if something happens which means you need to sell your property and move out, you won’t be penalised by early repayment charges – giving you one less thing to worry about.

Find out more

Is a RIO mortgage right for me?

Our RIO mortgage is designed for borrowers aged over 50, looking to mortgage their home in later life, or looking for an alternative to equity release. Borrowing money tends to become trickier as you approach retirement and beyond. But with a RIO, we look at a wide range of affordability criteria which allows us to be more accommodating than traditional mortgage providers.

Income criteria 

As part of your RIO mortgage application, we’ll ask for proof of income and outgoings. If you’re still working, we’ll need proof of your employed/self-employed income. If the loan extends beyond the date you expect to retire, you have a reasonable level of income in retirement in order to be eligible. We’ll consider the following types of retirement income: 

  • Pension income or future entitlements 
  • Investment income 
  • Rental income 
  • Commercial rental income 
  • Ltd company residential rental income 
  • Holiday rental income 
  • Spousal/maintenance income 
  • Sub-contractor income 
  • Some benefits (see your financial adviser or mortgage broker for more information on what we will and won’t accept) 

Find a mortgage adviser with

We don’t offer RIO mortgages directly to the public. It’s a big decision, and you’ll need to speak to a financial advisor to make sure it’s the right one for you. If you don’t already have an adviser, you can start your search, using

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Hodge RIO mortgages FAQs

The 50+ Mortgage is a repayment or interest only, fixed term, residential mortgage available from age 50. At the end of the loan, you’ll need to repay the mortgage. You can do this in several ways, like downsizing. A RIO Mortgage is for people who want a mortgage where they pay interest monthly without an end date.  

Unlike most traditional mortgage products, the RIO Mortgage doesn’t have a fixed term. The RIO Mortgage is an interest-only residential mortgage, available from age 50, but it has no end date. The loan is repaid upon death or entry into long term care.

Yes. You’ll have to pay the interest each month, and repay the loan when you pass away or go into long term care.   

We can lend a maximum of 75% loan to value on both mortgages, with loans from £20,000 to £2,000,000. 

The final amount well lend is based on our assessment of your ability to afford the loan. We’ll look at employment income (including self-employed) and retirement income thats currently being paid, or forecast to be paid upon retirement. Well also look at outgoings, including any loans or financial commitments already in place. 

As a responsible lender, we look at providing mortgage loans that remain affordable now and in the future. 

We review the SVR regularly. The SVR may change to reflect changes in the Bank of England base rate or due to our funding or administration costs, economic effects and the impact of new laws or regulations. If it changes, well pgive you reasonable notice. 

Paying interest on the loan could impact future income levels needed to fund retirement. We encourage you to discuss retirement plans with your Adviser to make sure you can still afford the mortgage, even if your circumstances change. 

Yes, we feel it is essential to obtain financial advice before applying, as it’s important to consider all options on the marketand also consider benefits and grants which may be suitable. 

We recommend using a financial adviser to help understand how much you can borrow and if a RIO Mortgage is the right option for you. Once you understand how much you’re able to borrow, you can start planning your RIO mortgage and putting it into place.


RIO Customer Guide

Residential Mortgage Terms & Conditions

Tariff of Mortgage Charges



Your home may be repossessed if you do not keep up repayments on your mortgage