[VIDEO] Reverse mortgages are more flexible than ever
Since 2004, Heartland has helped over 15,000 Australians live a more comfortable retirement with our award winning reverse mortgage.
But retirement today is very different from a few decades ago. Back then, it seemed living costs were lower and age pensions more generous. Retirees still had most of their wealth in the home value, but arguably had less reason to access it.
Now, the need for extra money in retirement has never been greater.
But there is good news: reverse mortgages are much more flexible than in the past. Here are four ways reverse mortgages have changed to better meet the needs of modern seniors:
1. Regular income stream
In addition to taking reverse mortgage funds as a lump sum , they can be accessed as regular ‘income’.
This is a regular, ongoing advance (payable monthly, quarterly or annually) to complement your retirement income, taking the stress out of everyday living expenses.
2. Put money aside for future needs
As well as the initial advance, and an income stream, you can access funds with a cash reserve facility.
This is like a line of credit, providing you with funds for future needs or unforeseen expenditure, which can be great for peace of mind.
3. Ability to repay at any time
Although there is no requirement to make repayments on a reverse mortgage until you leave the property, these days you are free to do so. In fact, one of the great things about a reverse mortgage is that you can repay in part or in full at any time – without penalty.
And if you do make additional repayments off the loan, but then later want to pull that money back out again, now you can!
Heartland is proud to offer a full redraw facility on all new reverse mortgages. This provides further flexibility.
The ‘Good Old Days’ might be gone, but at least the Heartland Reverse Mortgage – like a fine wine – has got even better with time.
If you’d like to find out more, you may find our free Information Pack a useful resource.
Information provided is accurate as at 14 March 2019 and may change from time to time.