Could a Reverse Mortgage be the Solution You’ve Been Seeking?
A reverse mortgage is a unique option specifically designed to serve the needs of Canadian homeowners who are at least 55 years old and wish to remain in their homes.
What makes this solution unique is that it enables seniors to access some of their home equity without having to make regular payments. All other lending products that assist homeowners in tapping into their home’s equity – such as a home equity line of credit (HELOC) or a mortgage refinance – require regular payments. Borrowers must also qualify based on their income and credit score.
With a reverse mortgage, you can access up to 55% of the value of your home and your credit is rarely a factor.
The funds can be used for anything, but among the most popular are:
- Supplementing retirement income and savings
- Paying off debt
- Updating or renovating your home to make it more accessible
- Taking a dream vacation
- Helping your children or grandchildren
Reverse mortgage eligibility depends on four key factors:
- Your age and your spouse’s age, since you both must be at least 55 years old
- Your home’s location, as you have to be in an area where a reverse mortgage provider is willing to lend
- Your property type, such as a detached, semi-detached, townhome, etc
- Your home’s value
With a reverse mortgage, you retain control over your home. You’ll never be forced to sell your home and you’re only required to pay back the loan when you sell or leave.
We can help you decide if a reverse mortgage is the right solution for you or your loved ones.