As you learn about reverse mortgages and research how a reverse mortgage might work for you, stories can give you added insight into how they play out in people’s lives.
These are our clients’ stories, though the names and images have been changed.
We have included a range of clients and a variety of finance delivery types, so that you can see what may be possible for you and how we provide solutions.
Henry’s in-Home Care Funding
After Covid19 started, we thought we would see an increase in aged care loans as families would have trouble selling properties to pay for aged care. This has not happened as much as one would think.
What we have seen is a significant increase in loans to pay for aged care in the home. It seems more people are staying out of aged care, but they need assistance. Government Aged Care packages only help so much, and if you need more care, then it costs. A family can use their parents’ home to access funds to pay for aged care in the parents’ home.
Henry’s daughter has organised a loan facility to help pay for her father’s in-home care. The loan is providing $5000 per month to start with and can be increased if necessary, as Henry needs greater care levels.
Robin’s experience from an email
I hope all is well with you both. This has been a very useful facility for me, and I’ve appreciated the great service both Heartland & your two have given me in setting it up. I have no doubt it will go just as smoothly at this stage.
Many thanks & kind regards,
Robyn
Queenscliff Couple – Husband aged 75 and wife aged 74
Property valued at $2.5 million. They found that their property maintenance and living costs were $80,000 per annum.
The income from aged pensions and superannuation earnings was $50,000, so their superannuation was decreasing by $30,000 per annum. The Franked dividends and capital returns were over 10% after tax, so they did not want to continue reducing their superannuation.
Borrowed funds to add a battery to the solar system to get rid of electricity bills, so some needed house and yard repairs, and to maintain their lifestyle going forward.
Over the last five years, the loan has increased to $270,000, but their home has increased from $2.5 million to $4.5 million.
63-year-old lady, divorced, with harbour views
This lady had a body corporate special levy for repairs to the building and had run out of investment funds.
She was able to borrow $70,000 for the special levy, and has a cash reserve that she draws as needed to continue her lifestyle of bowling, golf and 2 cruise holidays a year.
After 5 years she will owe $270,000 but her property has increased in value from $1.5M to 2.5M.
Mike and Jan (late 70’s) on the NSW Central Coast
Mike and Jan’s daughter needed $120,000 to be able to finalise the divorce from her husband.
Mike and Jan received advice that gifting or lending this money to their daughter would not reduce their pension. This is because they would still be under the Centrelink assets test.
We made sure they checked with Centrelink that their plans would not have an unexpected consequence for them.
The daughter is now able to move on with her life.
Reverse Mortgages Australia
Your Trusted Source of Reverse Mortgage Advice, Delivery and Support
From the first consultation with us, you can expect experienced, empathetic, specialist advice and a solution tailored to finance your retirement living and personal objectives.
We will ensure any reverse mortgage is sourced from trusted reverse mortgage lenders in Australia and meets your unique goals and your situation every time.
