Alfred (Aged 82) has lived in his home in the lower North Shore for his entire life
Alfred was a highly successful doctor and is used to a very good lifestyle. He has no children and will be survived by his nieces & nephews. The property is valuable in a wonderful location and can be sold in future to pay for aged care as no one is relying on his property.
He receives a government aged care package. They come 3 days a week to assist Alfred with gardening, shopping, cleaning, and meal assistance. Whilst he receives this assistance, he is still very independent and is still driving independently.
Alfred has an existing Reverse Mortgage which he took out five years ago to refinance some debts and receive a regular payment of $2,500 per month. This loan has served its purpose, but the 5-year regular payment has come to an end.
Rather than doing an increase with his current lender he will refinance with an increased limit to a cheaper lender and continue the $2,500 per month drawdown. As he is getting older, he wants to have a credit line available for unexpected one off costs in the future. It will also enable him to increase the monthly drawdown amount in future if needed as his aged care costs increase.
Alfred has been receiving $2,500 per month for the last 5 years from his current Reverse Mortgage. This will continue and has proven to be sufficient for his needs. If Alfred still requires this in 5 years time he can use the credit line available for it to continue. The payment could be increased using the available credit line if required.
This Reverse Mortgage has allowed Alfred to continue his lifestyle and living in his own home. It has brough him great relief and peace of mind so he can continue to enjoy his retirement on his own terms.
If you would like to know more about how a Reverse Mortgage can help you achieve your lifestyle aspirations please call Raymond on 0438 184 784 or Nicholas on 0438 184 785.
(Names, locations, amounts, & other personal details have been changed to protect the client’s identity.)
Reverse Mortgages NSW: Loan Scenario of the Week (08/09/2023)
