Reverse mortgage — 55 and over
Tap your home equity without monthly payments.
You're 55 or older, you want to stay in your home, but the cost of living keeps rising and fixed income doesn't always keep up. A reverse mortgage (CHIP, Equitable) lets you pull up to 55% of your home's value with zero monthly payments. Interest accrues on the balance, and the loan is repaid on sale, move, or death. It's a powerful tool, but you need to understand it before signing — an AMF broker in the Courteo network explains every implication, no pressure.
Who this is for
- You're 55+ and own your primary residence.
- You have significant equity (50%+ of home value).
- You want to supplement retirement income without monthly payments.
- You have a one-time need (renovations, healthcare, helping kids).
- You want to stay in your home as long as possible and avoid selling.
- You want to fund a life annuity or insurance without touching your savings.
What brokers in the Courteo network look at
Reverse mortgages have 6 major implications every file must examine. Independent legal advice is mandatory in Quebec.
FAQ — reverse mortgage
What are the real costs of a reverse mortgage?
Higher interest rate than traditional mortgage (typical 6-9% by product), opening fees ($1,800-$2,500), appraisal, independent legal advice ($700-$1,200). Interest accrues (compounded) — over 15 years, the balance can double or triple. That's exactly why the AMF broker must project the long-term scenario with you.
Will my heirs lose the home?
Not necessarily. At your death (or sale/move), your heirs have 6-12 months to repay the balance — by selling the home, or buying it back with their own financing. The balance will never exceed the home value ('no negative equity' guarantee). If equity remains, it goes to them.
Will I lose ownership of my home?
No. You remain 100% owner. The lender simply takes a mortgage (like a traditional bank), but doesn't evict you. You pay your municipal taxes, home insurance, and maintain the home normally.
What's the difference with a HELOC for seniors?
A HELOC requires monthly interest payments (sometimes principal too). A reverse mortgage requires NO payment — that's the key advantage for retirees on fixed income. But a HELOC is cheaper if you can carry the payments.
Does it affect my government benefits (OAS, GIS)?
No, money received from a reverse mortgage is not taxable income, so it doesn't affect Old Age Security (OAS) or Guaranteed Income Supplement (GIS). It's one of the major tax advantages of this product.
Am I forced to withdraw everything at once?
No. You can withdraw lump sum, monthly payments (annuity), line to draw as needed, or a mix. The AMF broker from the Courteo network models the options for your needs.
Let's understand together if it's for you.
2 minutes to start. A Courteo Prêts coordinator calls you within the day. The AMF broker from the Courteo network presents the real numbers (cumulated interest over 10/15/20 years, succession impact), compares with a HELOC or classic refinance, and lets you decide without pressure.