24 Nov

What is a CHIP Reverse Mortgage?

CHIP reverse mortgage

Posted by: Diana Diamond

A CHIP reverse mortgage allows Canadians 55 and older to unlock up to 55% of the value of their home to assist with any financial need. The money received from a reverse mortgage is tax-free, there are no health checks to qualify for and no payments required – interest or principal – for as long as at least one borrower lives in the home.

Reverse mortgage loans can be used to:

  • Pay off or consolidate debt
  • Supplement income
  • Finance home renovations or repairs
  • Pay for unexpected medical or emergency expenses
  • Financially aid a family member
  • Improve your standard of living by paying for a vacation getaway or making a special purchase

Benefits of CHIP:

  1. Keep your home – stay in your community and maintain complete ownership and control of your home.
  2. No payments. With CHIP you never have to make regular payments until you no longer live in the home.
  3. Relieve financial stress. Use up to 55% of the equity in your home to pay off debt and handle expenses.
  4. Enjoy retirement. The money you access through CHIP is tax free.
  5. Take Control. Get your financial under control and gain freedom to set your own plans and priorities.

Who is eligible for a reverse Mortgage?

  • Canadian Homeowner
  • Age 55 or older
  • Own your home
  • It is your primary residence

NO health check required

When you decide to move or sell, the proceeds from the sale repay your loan. The equity left over after repayment is yours.

Contact me today if you would like more information on a reverse mortgage and find out if it is the right product for you.