Reverse Mortgages in Canada
Turn Your Home Equity Into Retirement Income
A reverse mortgage lets Canadian homeowners aged 55 and older convert part of their home equity into tax-free cash, with no monthly mortgage payments required. You stay in your home and keep ownership, while Turnedaway.ca handles the details and guides you through every step.
or call 1-855-668-3074
For homeowners 55+ · No monthly mortgage payments · Stay in your home
A reverse mortgage is a loan for Canadian homeowners aged 55 and older that converts part of your home equity into tax-free cash. Unlike a regular mortgage, you make no monthly payments. The loan is repaid when you sell, move out, or pass away, and you keep ownership of your home the entire time.
55+
Available to Canadian homeowners aged 55 and older, on every title holder
$0
No monthly mortgage payments required for as long as you live in the home
Tax-free
The cash you receive is tax-free and does not affect Old Age Security or other benefits
You own it
You keep title and ownership of your home the entire time
What Is a Reverse Mortgage?
A reverse mortgage is a loan designed specifically for homeowners aged 55 and older. It lets you convert a portion of your home equity into tax-free cash without selling your home and without taking on monthly mortgage payments.
It works differently from a traditional mortgage. With a regular mortgage you pay the lender every month. With a reverse mortgage, the interest is added to the balance over time, and nothing is due until you sell, move out, or pass away. That means you can access the value built up in your home while continuing to live in it.
For an independent overview of how these loans work, the Financial Consumer Agency of Canada publishes a plain-language guide to reverse mortgages.
How a Reverse Mortgage Works
Eligibility
You must be at least 55 years old. If the home is co-owned, every person on title needs to meet the age requirement. The home must be your primary residence.
How Much You Can Access
The amount is based on your age, your home's appraised value, its location, and the property type. Generally, the older you are, the more of your equity you can access.
No Monthly Payments
You are not required to make monthly payments. Interest accrues and is added to the balance over time. You can choose to make payments if you wish, but you do not have to.
Repayment
The loan is repaid when you sell the home, move out permanently, or pass away. The sale proceeds repay the balance, and any remaining equity goes to you or your estate.
Benefits of a Reverse Mortgage
Financial Freedom
Use the equity you have built up over the years to cover living expenses, medical costs, or simply to enjoy retirement.
Stay in Your Home
No need to downsize or move. Stay in the home where you have built your memories.
Supplement Retirement Income
Add to your pension and investment income to improve your day-to-day quality of life.
No Monthly Payments
With no required monthly mortgage payments, there is less pressure on your monthly budget.
or call 1-855-668-3074
Repaying Your Reverse Mortgage
You do not have to make any payments on a reverse mortgage until you decide to move out or sell your home. That means you can use the funds without the burden of monthly repayments. When the time comes to repay, the amount owing is the cash you received plus the interest that has accrued.
Canadian reverse mortgages also carry a no negative equity guarantee. As long as you meet your obligations, you will never owe more than the fair market value of your home at the time it is sold. This protects you and your estate, even if the balance grows over time.
The full cost, including the interest rate and any lender, legal, and appraisal fees, is disclosed to you in writing through a formal Cost of Credit Disclosure before you commit to anything. Independent legal advice is part of the process, which is there to protect you.
Is a Reverse Mortgage Right for You?
A reverse mortgage is a good fit for some retirees and not others. Being honest about both sides is part of giving you good advice.
It may be a strong fit when:
You are 55 or older and want to stay in your home rather than downsize.
You have significant equity but limited monthly cash flow.
You want tax-free funds that do not affect your Old Age Security or GIS.
You prefer no required monthly payments easing pressure on your budget.
It is worth weighing carefully because:
Interest accrues over time, so the balance grows and reduces the equity left in your estate.
Rates are generally higher than a traditional mortgage or a home equity line of credit.
If your needs are short-term, a home equity loan or HELOC may cost less overall.
Why Work With Turnedaway.ca
A reverse mortgage is a significant decision, and you deserve guidance that is clear and honest. We have spent decades helping Canadian homeowners understand their options and choose what genuinely fits their situation.
Years of experience in the Canadian mortgage market.
Personalized guidance based on your specific situation and goals.
Support and clear answers at every step of the process.
Full transparency on costs, with everything disclosed in writing before you commit.
An honest assessment, including when a reverse mortgage is not the right choice.
or call 1-855-668-3074
Where We Help Homeowners
Turnedaway.ca arranges reverse mortgages across Canada, with a strong focus on Ontario. The areas below are ones we serve regularly, not a complete list. We work with homeowners in every province and territory except Quebec, Newfoundland, Yukon, the Northwest Territories, and Nunavut.
Call us at 1-855-668-3074 or check your eligibility online today.
Reverse Mortgage Frequently Asked Questions
Who qualifies for a reverse mortgage in Canada?
You must be a Canadian homeowner aged 55 or older, and the home must be your primary residence. If the home is co-owned, every person on title must meet the age requirement.
How do I receive the funds from a reverse mortgage?
Depending on the product, you can receive the funds as a lump sum, as scheduled advances over time, or a combination. The right structure depends on your needs, and we will walk you through the options.
Are there restrictions on how I use the money?
No. There are no restrictions on how you use the funds. Homeowners commonly use the money for living expenses, to pay off existing debts, fund home renovations, or help family members.
Do I still own my home with a reverse mortgage?
Yes. You keep ownership and title of your home. You remain responsible for maintaining the home and keeping property taxes and home insurance up to date.
What happens if my home value decreases?
Canadian reverse mortgages carry a no negative equity guarantee. As long as you meet your obligations, you will never owe more than the fair market value of your home when it is sold, even if the balance has grown beyond that amount.
When does the reverse mortgage have to be repaid?
The loan is repaid when you sell the home, move out permanently, or pass away. At that point the balance, including accrued interest and fees, becomes due, usually from the sale of the home.
What does a reverse mortgage cost?
Costs can include the interest rate, a lender or setup fee, an appraisal, and legal fees. Independent legal advice is required, which protects you. Every cost is disclosed in writing through a Cost of Credit Disclosure before you commit.
Does a reverse mortgage affect my OAS or GIS?
The funds you receive are tax-free and are not counted as income, so they do not affect income-tested benefits such as Old Age Security or the Guaranteed Income Supplement.
What are the alternatives to a reverse mortgage?
Alternatives include a home equity line of credit, a home equity loan, downsizing, or selling and renting. Each has its own pros and cons, and we will help you compare them honestly.
See If a Reverse Mortgage Fits Your Retirement
Find out how much of your home equity you could access, with no obligation. We will give you an honest assessment of whether a reverse mortgage is the right choice for you.
Check Your Eligibilityor call 1-855-668-3074