Australia’s #1 for Reverse Mortgage

In Australia, reverse mortgages are generally available to homeowners aged 55 or over, although some lenders may set a higher minimum age. Each of the lenders have very different credit policies and eligibility criteria.  

Generally, to be eligible for a Reverse Mortgage, you will usually need to meet the following criteria:

• You must be at least 55 years old
• You must own your home (either outright or with a small existing mortgage)
• The property must be an acceptable residential property under lender guidelines
• You must be able to meet ongoing property obligations such as rates, insurance, and maintenance

The amount you can access depends on your age, property value, and the lender’s policy. Generally, the older you are, the higher the percentage of your home’s value you may be able to access. 

At Seniors First, we help assess your eligibility across multiple specialist lenders and explain your options clearly before you make any decisions.

Yes — when arranged responsibly and with the right guidance, a Reverse Mortgage is a safe and regulated financial product for older Australians. In fact, it's the most heavily regulated consumer credit product in Australia. 

All Reverse Mortgages in Australia are governed by consumer protection laws and include important safeguards, such as:

• No Negative Equity Guarantee – you will never owe more than the value of your home
• Mandatory independent legal advice before the loan is finalised
• Clear disclosure of interest rates, fees, and long-term impacts
• Responsible lending obligations under NCCP regulations for banks and brokers
• Additional Best Interest Duty (BID) obligations for brokers only (lenders do not have to abide by this higher level of care)   

You also retain the right to live in your home for as long as you choose, provided you meet basic conditions such as maintaining the property and paying council rates and insurance.

At Seniors First, our role is to ensure you understand both the benefits and risks, so you can decide whether a Reverse Mortgage is appropriate for your situation.

The amount you can borrow with a reverse mortgage depends on several factors:

• Your age (older borrowers can generally access more)
• The value of your home
• The lender’s loan-to-value ratio (LVR) limits
• Whether you already have an existing mortgage

As a general guide, borrowing limits often start at around 15–20% of the property value at age 60 and increase gradually with age. With some lenders it starts at 15% loan to value ratio (LVR) at age 60, tracking up 1 percentage point per year with a maximum available of 50% at age 90. 

Because each lender has different policies, borrowing capacity can vary significantly. That’s why working with a specialist broker is important — we compare options across multiple lenders rather than offering a single product.

Seniors First also provides access to a reverse mortgage calculator to give you an initial estimate before speaking with a specialist.

A reverse mortgage is flexible and can be used for many different purposes, depending on your needs and goals. Common uses include:

• Supplementing retirement income
• Improving cashflow and easing cost-of-living pressures
• Refinancing home loans and consolidating existing debts
• Funding medical expenses or in-home care
• Paying for home repairs or modifications
• Upgrading vehicles or household essentials
• Supporting family members
• Travel or lifestyle expenses

Funds can usually be accessed as a lump sum, regular payments, a cash reserve, or a combination, depending on the lender and loan structure.

At Seniors First, we help you choose an option that aligns with your financial situation and long-term plans.

Yes. With a Reverse Mortgage, you remain the legal owner of your home at all times.

The property stays in your name, just like with a standard home loan. You can live in your home for as long as you wish, provided you:

• Keep the property reasonably maintained
  
• Pay council rates, insurance, and utilities
• Comply with the loan terms

The loan is typically repaid when you sell the home, permanently move out, or pass away. At that point, the home can be sold and the loan repaid from the sale proceeds.

Importantly, due to the No Negative Equity Guarantee, you or your estate will never owe more than the home’s value.

1. Help With Navigating a Niche Market, and a complex process

• Limited Lenders: Most major Australian banks (e.g., Commonwealth Bank, Westpac, NAB, ANZ) no longer offer reverse mortgages. Specialists provide access to the niche lenders and mutual banks that currently dominate the market.
• Exclusive Rates: Specialist brokers often have access to "broker-only" discounted interest rates not available to the general public. 
• Comparison and negotiation: only specialist brokers have the market intelligence to properly compare Reverse Mortgage lenders across hundreds of data points encompassing product, credit policy, and post-settlement loan procedures. They can also facilitate price-matching between lenders, and negotiate special discounts.   

2. Expert Financial & Regulatory Guidance

• Centrelink Expertise: Specialists understand how releasing equity affects the Age Pension, including the complex interaction with Centrelink income and asset tests or gifting rules.
• Mandatory Projections: Under the National Consumer Credit Protection Act, brokers must provide you with equity projections using specialized calculators to show how your debt will grow and how your equity will be affected over 10 to 20 years.
• Regulatory Compliance: They ensure compliance with specific ASIC guidelines (e.g., RG 273 and INFO 185) that generalist brokers may not be familiar with. 

Protection of Long-Term Interests

• No Negative Equity Guarantee (NNEG): Specialists ensure your contract includes the legally mandated NNEG, which prevents you or your heirs from ever owing more than the home’s market value.
• Inheritance & Aged Care Planning: They help structure the loan to preserve enough equity for future needs, such as moving into residential aged care or leaving a specific portion of the estate to beneficiaries.
• Independent Advice Coordination: They facilitate the mandatory independent legal and financial advice required before these loans can settle in Australia. 

4. Specialised Loan Structuring

• Drawdown Strategy: They advise on the most cost-effective way to receive funds—whether as a lump sum, regular income, or a line of credit—to minimize the impact of compounding interest.
• Alternative Options: A specialist can compare commercial products against the government’s Home Equity Access Scheme (HEAS) to determine which better suits your specific cash flow needs.

Reverse Mortgages are a specialist product, and standard mortgage brokers do not have the same experience or access.

Seniors First has been specialising in Reverse Mortgages since 2006, helping more than 6,000 older Australians. Our focus is on education, transparency, and helping you make an informed choice — not pushing a product.

Reverse Mortgage interest rates are generally higher than standard home loan rates, reflecting the unique nature of the loan and the fact that no regular repayments are required.

Interest is added to the loan balance over time, and interest is charged on both the borrowed amount and the accumulated interest. This is known as compound interest. Rates can vary depending on:

• The lender
  
• The loan structure (lump sum, income stream, or cash reserve)
• Market conditions

Because rates and products change, comparing options is important. A specialist broker can help you understand how interest works, how it affects your loan over time, and how different products compare.

It's unusual for a Reverse Mortgage to affect a borrower's Age Pension, but it's possible. It depends on the loan size, the loan purpose, and how the funds are used. Key points to understand:

• Money withdrawn and spent on exempt assets (such as home improvements) usually does not affect the Age Pension
  
• Money withdrawn and held as cash or invested may be assessed under Centrelink’s income and assets tests
  
• Ongoing income streams may be treated differently from lump sums

Because Centrelink rules can be complex and change over time, it’s important to understand the potential impact before proceeding.

At Seniors First, we explain the general considerations and recommend all pensioners check themselves with the Financial Information Services (FIS) officer at Centrelink. If Centrelink entitlements may be affected, we recommend seeking additional independent financial advice to address any concerns.