Reverse Mortgage Home Loan
Reverse Mortgages or Seniors Finance are loans which allow you to borrow an amount of cash against the agreed value of your home.
You do not need to make any repayments during the life of the loan.
A normal Bank loan, or forward mortgage, is based on your income and your ability to make repayments.
In the case of a reverse mortgage, it is the agreed value of your home that acts as the security for the amount you borrow. Interest on this loan is accrued monthly throughout the length of your loan.
No repayments are needed while you live in your home and you can live there for as long as you choose.
The loan must be repaid when you either permanently move out of the home, move into ongoing aged care or upon death.
How Much Can I Borrow?
As with all reverse mortgages, the amount you can borrow is based on two key factors:
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the agreed value of the property, based on an independent valuation
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the age of the youngest borrower.
Pros and Cons of a Reverse Mortgage
Advantages of a Reverse Mortgage
• No restrictions on what you use the money for. Money for Living.
• No regular repayments required.
• You retain ownership of your property.
Why would I not want a Reverse Mortgage?
• Compounding interest has a significant impact over the long term.
• Your Beneficiaries’ inheritance may be affected.
Call Us Now for a chat about reverse mortgages or any other loan products you may be interested in and one of our accredited consultants will explain the differences and help you choose the loan that most suits your needs.
Who Sells Reverse Mortgages?
There are several providers of Reverse Mortgages that include major lenders and non Bank Lenders.
We only recommend reverse mortgage products by lenders who are members of SEQUAL (Senior Australians Equity Release). SEQUAL is the self-regulatory body of the reverse mortgage industry, dedicated to the protection of borrowers and the promotion of responsible equity release lending options.
Other Loan Products that may interest you include:
Enquire Now about how a Reverse Mortgage may help you and your family enjoy your senior years.
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