Can You Get a Mortgage at 70? A Guide for Maine Buyers Using Retirement Income

Separate age protections from the credit decision

The CFPB explains that lenders generally cannot use age alone to deny credit. Its guidance also describes exceptions and how a lender may consider related financial information, including an expected change from employment to retirement income.

Those protections do not guarantee approval for a particular amount or term. Ask the lender to identify the actual income, credit or property conditions that remain. If an explanation appears to rely on age rather than financial qualifications, request clarification and consider the CFPB’s consumer assistance resources.

Prepare documents for each income source

List Social Security benefits, pension payments, retirement-account distributions, annuity payments and any continuing employment or other income you want considered. Ask which statements, award letters, tax records and payment history the chosen program requires. Do not assume a large account balance is treated the same as a regular paycheck.

The CFPB’s income-source guidance says lenders cannot simply refuse to consider pension or certain other income sources, while allowing review of amount and likely continuance. Documentation requirements depend on the income and loan.

Ask how retirement distributions will be evaluated

For a conventional loan following Fannie Mae guidance, the current annuity, pension and retirement-income requirements distinguish fixed from variable distributions and address documentation and continuance. That is one program’s framework, not a rule for every mortgage.

Have the loan officer explain which part applies to your income. Before changing withdrawals or moving assets solely for the application, discuss the lending requirements and potential tax consequences with your advisers. A qualifying-income calculation and a sustainable retirement withdrawal plan serve different purposes.

Compare loan terms alongside cash reserves

Request estimates for the terms actually available to you using the same loan amount and assumptions. A shorter term generally requires a higher principal-and-interest payment at a given rate; it may reduce total interest if held to payoff. A longer term may preserve monthly cash flow but can increase interest paid over time.

Consider cash left after the down payment, expected repairs and other obligations. Paying more upfront can reduce the loan while reducing accessible reserves. Include property taxes, insurance, association costs where applicable and maintenance, even if you could buy without borrowing.

Choose a property that fits the longer plan

Review the home’s access, stairs, maintenance workload and proximity to the services you use. These are personal planning questions, not assumptions about what every older buyer needs. Price work you would need now and improvements you may want later.

Before making an offer, ask for a documented financing review and a household budget that allows for changes in expenses or income. If ownership or estate questions are important, involve an attorney. This article addresses a regular purchase mortgage; reverse mortgages have different eligibility and obligations. Sources reviewed November 3, 2026.

Get a buyer guide for your next conversation

Request my free Maine Home Buyer’s Guide through the Home Buyer Guide form with your name and email. Bring your preferred payment range and property needs when we discuss your search, and take income-qualification questions to your lender.