Older parents face mortgages burden

Nearly a quarter of older people who had children when they were aged in their 40s are still paying off their mortgage, a study has found.

Saga Life Insurance also said its research suggested that people who had children in their 40s will be nearly 70 years old by the time they pay off their mortgage, at 69 years compared with 66-years-old.

The research into the financial impact of becoming a parent later in life found that 23% of people aged over 50 who had children when they were in their 40s have a mortgage, compared with 17% in this age group generally.

On average the over-50s owe £62,262 on their mortgage, but this rises to £76,719 among those who had children in their 40s.

The research highlighted the trend towards later life parenthood. Those questioned said they had their last child aged 31 on average, but a fifth said they were aged between 35 and 40 and one in 20 had their last child aged in their 40s.

One in 10 over-50s is paying for their children's or grandchildren's university fees, rising to 23% of those who had children later in life.

Later life parents were also more likely to still be paying off a loan at 17% of people rather than 13% on average. The balance outstanding for those who had children in their 40s is on average £4,000 higher at £15,274 rather than the £11,288 typically owed by those with loans.

Researchers interviewed 9,229 people aged 50 and over last month.