Reverse Mortgages allow you to tap into the equity in your home (or investment property) without having to sell it, providing funds for you to continue enjoying your quality of life. You can use the funds for anything you wish - supplement your income, pay for medical expenses, assisting your family financially, renovating your property - the choice is yours.
- Funds access flexibility – receive funds as a lump sum, annual instalments or a pre-approved facility todrawdown as you require.
- Choice of Interest Rate Protection – ‘Fixed for Life’, ‘Capped for Life’ rate, or a split of both rates on the lump sum amount.
- No Negative Equity Guarantee written into your contract – means that provided the Terms and Conditions of the reverse mortgage have been met, you will never owe more than the value of your property and you can stay in your home for as long as you choose.
- Use of funds – you can use the funds from a reverse mortgage for any worthwhile purpose.
- No regular payments – you don’t have to make regular repayments.
- Property ownership – you or your Family Trust retain full ownership of the property and retain all the benefits of any growth in value of your property.
A Reverse Mortgage is available to residential property owners over sixty living in their own home. The loan is secured using either your owner occupied home or investment property, providing a source of funds by releasing some of the equity tied up in this property. You are not required to make any repayments whilst you are still living in your home, as all interest and fees are ‘rolled up’ into the loan balance. You can also stay in your home for as long as you choose.
How much equity you may release depends upon your age and the value of your property. In general, the older you are the more we may advance you. The funds advanced are likely to be between 15% and 45% of the value of your property.
You will not be required to produce any bank statements or proof of any income. Each month, interest on the loan will be added to the loan balance.