What is a Reverse Mortgage?
A reverse mortgage in Canada is similar to a home equity line of credit—but with a major advantage: no monthly mortgage payments are required, and you don’t need to sell your home to access your funds. Homeowners aged 55 and older can unlock up to 55% of their home’s equity as tax-free cash.
Unlike traditional loans or lines of credit, a reverse mortgage is secured by your home’s value and is only repaid when you sell your home, move out permanently, or pass away. It’s an ideal solution for Canadian seniors who want to boost their retirement income, cover expenses, gift a living inheritance, or access funds without selling investments and triggering capital gains taxes.
Benefits of Reverse Mortgages
Discover how reverse mortgages can enhance your retirement lifestyle and financial security.
You’re Protected
With a reverse mortgage, you’ll never owe more than your home’s value—ensuring you’re fully protected from market changes.
No Monthly Payments
Eliminate financial stress with no monthly mortgage payments required for as long as you live in your home.
Secure Retirement Income
Supplement your retirement with additional tax-free cash to enhance your lifestyle and financial security.
Stay in Your Home
Access your home equity without having to sell or move out, allowing you to age in place comfortably.
Tax-Free Cash
Receive your money tax-free, with flexible options to take it as a lump sum, regular installments, or a combination of both.
Full Ownership
Maintain full ownership and control of your home while benefiting from its increased value over time.
How to Qualify for a Reverse Mortgage
Reverse mortgages in Canada are designed specifically for homeowners aged 55 and older who want to access their home equity without selling or moving.
- You and any co-owners must be at least 55 years old
- The home must be your primary residence
- Your property must be a qualifying type (most homes qualify)
- No income qualification requirements
- No credit score minimums
- No medical tests required
- No proof of income needed
Learn More About Reverse Mortgages
Explore these resources to better understand reverse mortgages and how they can benefit your retirement planning.
Reverse Mortgage Guide
A comprehensive guide to understanding reverse mortgages, how they work, and whether they’re right for you.
Download GuideReverse Mortgage FAQs
Find answers to the most common questions about reverse mortgages in Canada.
Read FAQsFree Consultation
Schedule a no-obligation consultation to discuss your specific situation and options.
Book AppointmentFrequently Asked Questions
Get answers to common questions about reverse mortgages and how they work.
Yes, you absolutely retain full ownership of your home with a reverse mortgage. You continue to live in it and maintain control over your property. The reverse mortgage is simply a loan secured against your home’s value, but it doesn’t transfer any ownership rights to the lender.
A reverse mortgage only needs to be repaid when you sell your home, move out permanently, or when the last borrower passes away. Until then, no monthly mortgage payments are required as long as you maintain the property and stay current on property taxes and home insurance.
You can access up to 55% of your home’s appraised value through a reverse mortgage. The exact amount depends on several factors, including your age, your home’s location and value, current interest rates, and your property type. Generally, the older you are and the more valuable your home, the more you may be eligible to receive.
In most cases, yes. Since you can only access up to 55% of your home’s value, and Canadian homes typically appreciate in value over time, there is often remaining equity. Your heirs will receive whatever equity remains after the loan is repaid from the sale proceeds. If you’re concerned about leaving a specific inheritance, we can discuss strategies to balance your current needs with your estate planning goals.