Most of us picture retirement at home — your own kitchen, your own routines, the familiarity of a neighbourhood you know well. It’s a deeply personal aspiration, and it’s one that the vast majority of Canadians share.
But here is something that often catches people off guard: the cost of staying home when you need care.
A recent survey we performed found that 90% of Canadians over 45 would prefer to remain in their own home rather than move to a long-term care facility. Yet only 13% have considered the cost of Personal Support Worker care as part of their retirement planning, and just 6% have both planned for and can afford this type of support.
That gap between what people want and what they have prepared for is significant — and it is worth thinking about now, before care needs become urgent.
The good news is that many Canadian homeowners are sitting on a resource they may not have fully considered: their home equity. If you are 55 or older and own your home, the CHIP Reverse Mortgage from HomeEquity Bank allows you to access up to 55% of your home’s appraised value in tax-free cash, with no monthly mortgage payments required. The loan is only repaid when you move, sell, or your estate is settled.
Here are 10 practical ways those funds can help you remain in your home, on your terms.
1. Pay for a Personal Support Worker (PSW)
PSWs are often the backbone of in-home care — helping with bathing, dressing, meal preparation, medication reminders, and light housekeeping.
A Personal Support Worker typically charges between $30 and $45 per hour for this type of daily support.
2. Cover Private Nursing Care
Some health conditions call for more than personal support. Private duty nurses — including Registered Practical Nurses, Licensed Practical Nurses, and Registered Nurses — can cost $45 to $75 or more per hour, providing services like wound care, injections, catheter care, and complex medical monitoring. A reverse mortgage helps you access this level of clinical care without drawing down your savings.
3. Create a Steady Monthly Income for Ongoing Care
You do not have to receive your reverse mortgage funds all at once. You can opt for regular monthly or quarterly payments, creating a predictable income stream to cover caregiver fees on an ongoing basis. This works particularly well if your care needs are consistent and you want to budget around a set amount each month.
4. Fund Live-In or Around-the-Clock Care
For those who need continuous support, a live-in caregiver can be the most comfortable and practical arrangement. Around-the-clock home care can cost between $350 and $600 per day depending on the province and level of care required.
5. Bridge the Wait for a Subsidized Long-Term Care Bed
Canada’s long-term care system is under real pressure. Over 50,000 Canadians are currently waiting for a long-term care bed, and in British Columbia, the average wait time has nearly doubled — from 146 days in 2018 to 290 days in 2024. While you wait for a funded spot, private care costs can accumulate quickly. Reverse mortgage funds can cover that gap and keep you safely supported at home in the meantime.
6. Make Your Home Safer for Care
Sometimes the most important investment is in the home itself. Installing grab bars, a walk-in shower, a stair lift, or a ramp not only makes daily life safer — it also makes it easier for caregivers to do their work well.
7. Pay for Specialized Memory Care at Home
Memory care is among the most expensive forms of support, averaging $5,200 per month in a specialized facility. For those living with Alzheimer’s or dementia who wish to remain at home, reverse mortgage funds can help cover the cost of trained in-home caregivers — keeping you in a familiar, comforting environment while receiving the support you need.
8. Protect Your Registered Savings
Using home equity for care costs means you are not forced to draw down your RRSP, RRIF, or other investments earlier than you planned. This reduces potential tax consequences and allows your savings to continue growing while your home equity does the work instead.
We recommend speaking to a qualified financial advisor before making any decisions.
9. Receive Tax-Free Cash That Does Not Affect Government Benefits
Because reverse mortgage proceeds are a loan rather than income, they are not added to your taxable income and do not affect your eligibility for Old Age Security (OAS) or the Guaranteed Income Supplement (GIS). For those on a fixed retirement income, this makes a meaningful difference.
10. Support a Family Caregiver
Many Canadians rely on a spouse, adult child, or other family member to provide much of their daily care. When aging at home happens without adequate financial planning, family members often end up shouldering significant costs — with some caregivers reporting spending over $100,000 to support aging parents at home. Reverse mortgage funds can be used to formally compensate a family caregiver, cover their expenses, or simply provide the financial breathing room that makes sustained, quality care possible.
A Plan That Puts You in Control
According to HomeEquity Bank, 82% of Canadians say they would only consider assisted living if they could not afford in-home care — a figure that has grown by five percentage points in just two years. The preference to stay home is not going anywhere. What is needed is a financial plan that makes it possible.
Your home has likely been one of your most significant assets for decades. The CHIP Reverse Mortgage from HomeEquity Bank is designed to let you put that equity to work — funding the care you want, in the place you love, without giving up ownership or taking on monthly payments.
Ready to find out how much you could access? Get your free estimate today and see what is possible.
This blog is intended for educational purposes only and does not constitute financial, legal, or medical advice. Care costs, eligibility, and available services vary by province and individual circumstance. We recommend speaking with a qualified financial advisor, healthcare professional, or legal counsel before making any decisions related to long-term care planning or home financing.