Reverse Mortgage Product Details

Getting started

Minimum amount

$20,000

Maximum amount

No maximum for loans, subject to property valuation. (Variation on standard terms for loans or properties over $1m)

n.b. There are some post code restrictions, which may mean we are unable to lend at present, or only offer reduced LVRs

Property restrictions

No retirement villages/resorts or transportable homes. Some postcode restrictions apply.

Negative equity guarantee

Neither the borrower nor their estate will owe more than the value of the property unless the borrower breaches the loan terms.

Investment properties

Considered on an individual basis (variation on standard terms)

Outstanding borrowing

To be repaid at drawdown

Insurance requirements

Current homeowners' replacement policy

Pensions impact

Refer to Centrelink

The choices
Lump sum options	- Fixed interest rate over 5, 10, 15, 20 years or Lifetime - Variable interest rate
Monthly Income options	- Variable interest rate over 5, 10, 15 or 20 years - Equal payments or 2.5% annual increase
Flexible drawdown options	- Combination fixed and variable rate - Combination lump sum, monthly income or cash reserve
In addition, you can protect up to 25% of the value of your home (lower LVRs will apply)

The set up fees
Valuation fee	$300 if less than $1m; $550 between $1m and $2m; on application for over $2m
Independent legal advice	Costs borne by applicant
Stamp duty	Payable in some states
Application fee	$700

When you have the loan
Further drawdowns/redraws	Minimum of $1,000
Ongoing fees or charges	$0

Repaying or changing the loan
Repayments	None required until borrowers cease to reside
Optional repayments	Minimum of $1,000 (penalties may apply on fixed rate loans)
Involuntary repayment	No fee
Voluntary repayment fee	1-5 Years 1%
Fixed rate voluntary break fees	Charged at cost
Discharge fee	$250
Post settlement variations	$250