Who qualifies for a reverse mortgage?
The core requirements are simple: minimum age, homeownership in Ontario, and meeting the lender's criteria. The exact amount available depends on your age, home value, and property type.
Core requirements
- All homeowners must be 55 years of age or older
- The home must be located in the province of Ontario
- The property must be your primary residence
- The home must meet the lender's requirements for type and value
- You must be able to keep up with property taxes, insurance, and upkeep
Eligible property types
- Detached home
- Townhouse / semi-detached home
- Condominium that meets lender requirements
- Multi-unit property of up to 4 units, subject to conditions
Busting the myths
The bank will take my home.
Not true. You remain the owner of your home. The lender holds a lien, not the title.
My children won't be able to inherit the house.
Your heirs can pay off the remaining balance and keep the home in the family. Typically, any remaining equity after the sale goes to the estate.
A reverse mortgage is only for people who urgently need cash.
It's a financial planning tool used for many purposes, from supplementing income to strategic investing.