Reverse Mortgage Loan Drawdown Options
Your financial needs can vary based on your circumstances. At Heartland Seniors Finance, we believe a Reverse Mortgage should be flexible and want to make sure that you are comfortable with your loan.
The Heartland Seniors Finance Reverse Mortgage has three, flexible options to select from when applying for your loan.
1. Reverse Mortgage Lump Sum
This is the initial payment made on settlement of your Reverse Mortgage loan. You will receive a lump sum which could be used for home renovation, a mortgage refinance, a refundable accommodation deposit for aged care, purchase of new car, debt consolidation, and more. A minimum lump sum amount of $5,000 must be initially drawn, but on top of this, you can receive funds in the future in the form of a Regular Advance (a reverse mortgage annual, quarterly or monthly draw) or Cash Reserve facility for future funding needs.
2. Reverse Mortgage Regular Advance option
Many of our clients are looking for a reverse mortgage monthly draw as a funding option. At Heartland, our Regular Advance option can be setup as a monthly, quarterly or annual payment over 5 or 10 years and meets this reverse mortgage monthly draw need. Our Regular Advance option can help supplement your retirement income. The minimum amount that may be regularly advanced is $300 per month, $625 a quarter or $2,500 annually.
3. Reverse Mortgage Cash Reserve*
Our Cash Reserve facility will enable you to set aside funds that can be used for future needs such as emergency expenses, unplanned home repairs, healthcare, holidays, and more. You can easily access this cash reserve and, the good news is, you don’t have to pay any interest on the undrawn amount. The minimum draw is $2,500.
*You can apply to draw on this "Reserve" at any time. It is not however guaranteed that we will approve this application, as we may reduce or cancel this "Reserve".
Remember: no interest is charged on any amount of the facility that has not been drawn down. There may be fees and charges payable for different loan options, which you can learn more in detail by reading our Fee Schedule.