What is a reverse mortgage?
Most Australians dream about retirement. What they’ll do, where they’ll go, having more time with family and doing the things they love. For some people, however, this dream becomes a nightmare. The cost of living keeps going up, superannuation balances diminish, and the Age Pension doesn’t adequately provide for a comfortable retirement.
Retired Australian homeowners have the opportunity to tap the savings they’ve accumulated in their home using a reverse mortgage. It’s an equity release product that allows you to release some of the accrued value – or equity – built up in your home. You can use your home equity as an income stream or take it as a lump sum. Alternatively, you can do both.