Equity release and reverse mortgages are an alternative for retirees or home owners wishing to upgrade their property.
Leading Melbourne Mortgage Broker What If We Finance advises these loans allow you to borrow the equity in your home, while you still occupy it. This can be a tempting option for many borrowers, as the repayments do not have to be made until the owner either dies or moves into long-term care. As most retirees to do not have a regular income, these loans tend to meet their needs. Usually the loan is paid in full out of the sale of the property. Homeowners over 60 years can borrow between 15% and 45% of the value of the property.
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