Enjoy your retirement with more financial freedom
Our Retirees Access Home Loan offers flexibility, allowing you to stay in your home while accessing extra funds.
Our Retirees Access Home Loan is a variable interest rate reverse mortgage designed for people who are retired (or nearing retirement) and own their home. It lets you borrow money against the equity of your home.
Our Retirees Access Home Loan allows you to borrow up to 40% of your property’s value or $400,000 (whichever is lesser) depending on borrowers’ age. The loan is secured against your home, and there’s no need to make regular payments. You are given the money in a single lump sum and the loan is repaid when your home is sold, vacated, or from your estate. Read more in the useful links section further down this page.
The funds are paid to you as a one-off lump sum and you can use the money however you choose – whether it’s for everyday expenses or unexpected costs, home renovation, medical or care needs, travel, or simply enjoying life with fewer financial worries.
This is a specialised loan and there are some conditions you need to know, such as whether it may affect your government payments or entitlements. We recommend discussing your plans with your family and seeking financial advice before applying. Independent legal advice is also required before the loan can proceed.
| Features | |
| Minimum amount | No minimum loan amount |
| Maximum amount |
The maximum amount available to borrow is assessed on the age of the youngest borrower and the loan to value ratio. The value of the property is assessed and then based on the valuation the borrower may be eligible for the following amounts:
|
| Maximum loan term |
No term. Payable from the borrower's estate upon passing or on vacating or sale of the property |
| Repayments | Regular loan repayments are not required. However, you are free to make voluntary repayments of any amount (and redraw these amounts, for a fee) or repay the loan via lump sum repayments at any time at no extra cost or penalty. Provided you are not in default, the loan will be repaid when: (a) the mortgaged property is sold on your death or death of the last borrower; (b) the mortgaged property ceases to be your principal place of residence or that of the last surviving borrower; or (c) in case of an investment property or holiday home, on the death of the last surviving borrower. |
| Interest | Calculated daily, charged monthly |
| Establishment fee | At cost |
| Redraw | Yes3 |
| Loan preparation fees | At cost |
| Increase/top up | Subject to Maximum Loan criteria |
| Investment Property as security | Yes |
| Variable Rates | Interest Only | |
| Interest Rate | Comparison Rate | |
| Retirees Access Home Loan | 8.47% p.a. | 8.57% p.a. |
A reverse mortgage allows you to borrow money using the equity in your home as security. Interest is charged like any other loan, but you usually don’t need to make repayments while you live in your home. The loan must be repaid in full if you sell your home or die or, in most cases, if you move into aged care. Typically, you are charged a higher interest rate on a reverse mortgage than for a standard home loan.
The money from a reverse mortgage can be used in a variety of ways, for example:
The sole applicant and in case of a joint application, the youngest borrower must be 60 years of age or older. In the case of multiple applicants, all applicants must be 60 years of age or older and hold title to the property either as joint tenants or tenants in common. Eligibility also depends on the property’s value (determined by G&C Mutual Bank) and its location. You may also be eligible for a reverse mortgage even if you still owe money on your home.
The maximum amount available to borrow is assessed on the age of the youngest borrower and the loan to value ratio.
The value of the property is assessed and then, based on the valuation, the borrower may be eligible for the following amounts:
| Age | Maximum Loan |
| 60 - 64 | Lower of $200,000 or 15% of value of property |
| 65 - 69 | Lower of $250,000 or 20% of value of property |
| 70 - 74 | Lower of $300,000 or 25% of value of property |
| 75 - 79 | Lower of $350,000 or 35% of value of property |
| 80+ | Lower of $400,000 or 40% of value of property |
Regular loan repayments are not required. However you are free to make voluntary repayments of any amount (and redraw these amounts, for a fee) or repay the loan via lump sum repayments at any time at no extra cost or penalty.
Provided you are not in default, the loan will be repaid when:
(a) the mortgaged property is sold on your death or death of the last borrower;
(b) the mortgaged property ceases to be your principal place of residence or that of the last surviving borrower; or
(c) in case of an investment property or holiday home, on the death of the last surviving borrower.
There are several risks associated with Reverse Mortgages. Chiefly among them:
Read more about the negative equity protection on the Australian Securities and Investments Commission’s (ASIC) MoneySmart website.
3 Minimum redraw amount of $100 applies.
Eligibility criteria, terms and conditions, fees and charges apply. All information including interest rate is subject to change.
Borrowers' estate or its beneficiaries will not be liable for any residual debt following the sale of the property, provided the terms and conditions of the loan have been met.
* Eligibility criteria terms and conditions apply to our Unity Bank Products. Fees & charges may apply. Any general advice or information on this podcast does not take into account your personal objectives, financial situation or needs and you should consider whether it is appropriate for you. Please review our Disclosure Documents before acquiring any product.
