Heartland Seniors Finance Secondary Property Reverse Mortgage

If you own an investment property or holiday home, you could be able to tap into your equity to fund your retirement.

If you're over the age of 60, your holiday home or investment property could help provide you much-needed retirement funds through the Heartland Seniors Finance Secondary Property Reverse Mortgage.

A note on fees

While this loan has no application fee, there is a settlement fee. And if your application is not succesful you will be charged a valuation fee.

Product NameHeartland Seniors Finance Secondary Property Reverse Mortgage
Interest Rate TypeVariable
Interest Rate (p.a.)6.34%
Comp Rate^ (p.a.)6.36%
Minimum Loan Amount$5,000
Minimum Loan Term1 year
Maximum LVR33.75%
Maximum Insured LVR33.75%
Loan Redraw FacilityYes
Fixed Interest OptionNo
Loan PortableYes
Suitable for InvestmentYes
Extra RepaymentYes
Available as equity loan/line of creditYes
Repayment TypePrincipal & Interest and Interest Only Options

Application Fee$0
Valuation Fee$350
Ongoing Fees$0 p.a.
Settlement Fee$495
Discharge Fee$395

Pros

  • $0 application fee
  • Lump sum payment option available

Cons

  • There is a $495 settlement fee
  • There is a $395 discharge fee
  • There is a $295 switching fee

What do I need to know about this loan?

A reverse mortgage offers you funds based on the equity in your home. These funds can be disbursed either as a line of credit or a set regular income.

Instead of making regular repayments, the Heartland Seniors Finance Secondary Property Reverse Mortgage calculates your interest and adds it to your original loan amount. The loan is then repaid when the property is sold or the last reverse mortgage customer passes away.

Before taking out a reverse mortgage, it's important to seek independent financial advice on your retirement objectives and needs. You'll also need to obtain the advice of a solicitor.

How do reverse mortgages work?

What are the features and benefits of the Heartland Seniors Finance Secondary Property Reverse Mortgage?

  • Loan amount and loan to value ratio. The Heartland Seniors Finance Secondary Property Reverse Mortgage carries a minimum borrowing amount of $5,000 and no maximum borrowing amount. You can borrow up to 33.75% of the equity in your home.
  • Eligibility. To qualify for a reverse mortgage through Heartland Seniors Finance, you must be 60 years of age or older.
  • Repayment flexibility. Though you're not required to make regular repayments, the Heartland Seniors Finance Secondary Property Reverse Mortgage allows you to make unlimited optional repayments.
  • Security type. You can use either a holiday home or investment property as security for the loan.
  • Payment type. Your payments can be disbursed either as a line of credit or a regular set income. You can also access lump sum repayments. The minimum amount is $2,500 and there's a $60 fee.

What fees and charges come with this loan?

  • Valuation fee: $350. Heartland Seniors Finance waives this fee for properties valued under $2 million.
  • Settlement fee: $495. This fee covers the administrative costs associated with funding your reverse mortgage.
  • Discharge fee: $395. This fee is charged when you repay your reverse mortgage.

How do I apply for this loan?

If you've sought financial advice, compared your reverse mortgage options and think the Heartland Seniors Finance Secondary Property Reverse Mortgage suits your needs, click the green button above. You'll be directed to the Heartland Seniors Finance website, where you'll be guided through your application. Remember, you'll need help from a solicitor to review your reverse mortgage agreement.

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Heartland Seniors Finance Secondary Property Reverse Mortgage

  • Interest Rate

    6.34% p.a.

  • Comparison Rate

    6.36% p.a.

  • App Fee / Annual Service Fee

    $0 / $0

  • Max LVR

    33.75%

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