Mortgage Options for Older Canadians
Although it’s ideal to have your mortgage paid off by the time
you retire, that isn’t always possible in today’s economy. The
cost of living is considerably higher than it has ever been, and
as a result, many Canadians are putting off retirement, hoping
to make just a bit more money to add to that nest egg.
So if you find yourself in the position where you’re considering
your mortgage options into retirement, you’ve come to the
The advantage of working with an independent mortgage
professional instead of a single bank is choice. When you work
with an independent mortgage professional, you won’t be
limited to an individual institution’s products; rather, you will
have access to considerably more options.
Here are some options available to older Canadians as they
plan for mortgage financing through their retirement.
Standard Mortgage Financing
If you’ve got a steady income, decent credit, and equity in your
home, there is no reason you shouldn’t qualify for standard
mortgage financing, which usually comes at the lowest interest
rates and best terms. Some lenders use pension and retirement
income to support your mortgage application even if you’ve
Reverse Mortgage Financing
A reverse mortgage allows Canadian homeowners 55 years
and older to borrow money from their homes with no proof of
income, no credit check, and no health questions. A reverse
mortgage is a fabulous mortgage solution that has helped
thousands of older Canadians enhance their lifestyle.
Home Equity Line of Credit (HELOC)
A line of credit secured to the equity you have in your home is
an excellent tool to allow you to access money when you need
it but not pay interest if you don’t need it. Many older
Canadians like the idea of rolling all their expenses and income
into one account.
If you happen to be in a bit of a tight spot, you have a plan but
need a financial solution; private financing might be the
answer. Indeed not the first choice for many because of the
higher interest rates. However, private financing can provide
you with options where a traditional bank can’t.
If you have any questions about securing mortgage financing
for your retirement, please connect anytime. It would be a
pleasure to work with you and walk you through all your options.