Buying guide
Reverse mortgages: The retiree's guide
A reverse mortgage could be a great way to access funds later in life, but there are a few things to know first
AI summary
A reverse mortgage allows Kiwi homeowners over 60 to borrow against their property's value to fund retirement, with no repayments required until the home is sold.
These loans have high, compounding interest rates and fees that can quickly reduce your home equity. It is crucial to understand the risks and seek contract protections like a No Negative Equity Guarantee and Lifetime Occupancy. Before committing, always get independent legal and financial advice to explore all alternatives.
How does a reverse mortgage work?
Who can get a reverse mortgage?
Reverse mortgages can be risky and expensive.
How much can I borrow with a reverse mortgage?
How much do reverse mortgages cost?
Example of the interest cost of a reverse mortgage
If they're used wisely reverse mortgages can be useful tools.
What are the downsides of a reverse mortgage?
A reverse mortgage may be able to help you unlock the lifestyle you want.
How to protect yourself when taking out a reverse mortgage
Ensure your reverse mortgage contract includes the following:
Don’t borrow more than you need
Seek independent legal advice
Always seek advice before taking out a reverse mortgage.
Alternatives to a reverse mortgage
How to apply for a reverse mortgage
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