The number of Australian households who are struggling to refinance due to serviceability issues has surged from 15% to 30% in just less than six months, according to Compare Club. New data from the personal finance marketplace and advice company also showed a skyrocketing number of refinancing inquiries from mortgage holders with an […]
Age Pension eligibility is calculated by a means test assessment. Both income and assets are assessed by Centrelink/DVA in order to determine eligibility and payment amounts. The current maximum age pension payments are Single $1064.00 per fortnight Couple $802.00 each per fortnight Income assessment Recipients are able to earn $204.00 per fortnight for singles ($360.00 […]
A Cash Reserve is simply funds in the reverse mortgage loan that are greater than your immediate needs. These funds remain in the loan and do not incur any fees or charges (including no interest charge) until you actually draw the funds down. When considering borrowing funds via a reverse mortgage loan, it is important […]
Many older Australians value their age pension payments. For the majority of recipients, the use of a reverse mortgage will have no effect on current entitlements. Each age pension recipient is assessed on both their assets and income to determine their pension payment. Maximum assets for Full pension From 21 September 2021, allowances and full […]
The Revised Pension Loans Scheme compared to a conventional reverse mortgage
Much has been written about the recently revised Centrelink Home Equity Access Scheme (HEAS). It is a government-funded reverse mortgage loan that offers eligible seniors (not necessarily pension recipients) increased pension payments advanced as a reverse mortgage loan. Borrowers must be property owners and the loan is secured by a caveat over their […]