The Reverse mortgage was developed to assist those people that are "asset rich/cash poor".
A reverse mortgage is for borrowers over the age of 60 who have equity in either their own home or an investment property. The money can be used for anything you'd like, with many people using them to carry out home improvements to make their day to day life more comfortable, pay off any little loans or credit cards you may have hanging around, buy themselves a new car or even to take that one last overseas holiday. The choice is totally yours No repayments are required until such time as all the borrowers move into aged care or pass away. When set up correctly these loans will have no effect on your aged pension payments or eligibility.
At Loan Market, we take these loans very seriously, so you can be sure of getting a structure that is just right for you. Of course, due to the importance of knowing how it will effect your own personal circumstances, we always strongly recommend your consult a Centrelink FIS Officer, as well as a Financial Planner.