Your Home, Your Biggest Asset
Upon retirement, your home becomes one of your biggest assets in your financial portfolio. Many Canadians don’t think of their homes when it comes to equity for retirement, but the home can be put to work in a retirement plan to preserve other investments. As a substantial asset in your financial portfolio, your home can help work as an income supplement to increase cash flow, consolidate debt and it can even help you reduce the taxes you pay.
So how can you find out what your home is worth now to help you with your retirement planning? The CHIP reverse mortgage calculator! It is an easy-to-use tool to get quick and accurate figures.
What Factors Determine Your Reverse Mortgage Eligibility?
The amount you are eligible to receive from a CHIP Reverse Mortgage is based on the following:
- The age of the homeowner(s) – Your age and the age of your spouse
- The location of the home
- The type of home (freehold, townhouse, condo, etc.)
- The home’s current appraised value
The CHIP Reverse Mortgage by HomEquity Bank loans up to 55% of the value of your home. This calculator can help crunch the numbers so that you can be aware of your estimated eligibility amount (based on the above mentioned factors). Once the estimate is calculated and the homeowner(s) proceed with the reverse mortgage, an independent appraisal of the home will be required in order to establish a more precise evaluation.
Along with the CHIP Reverse Mortgage calculator, a prepayment charge calculator is also available. Both of the calculators are available so that senior homeowners and advisors can do their research and be well aware of the numbers before they or their client commit to the loan. HomEquity Bank has these calculators available for complete transparency and to enable homeowners to be well aware of the numbers in advance.
Your Reverse Mortgage Term
The calculator is easy to use with just a few fields to fill out, including the choice of the preferred reverse mortgage term, either 6 months, 1 year, 3 years or 5 years. The term determines the interest rate percentage, the closing and administrative costs as well as the annual percentage rate (APR).
For example, John (65) and April (60) were recently in the market to downsize, but after talking to their real estate agent and finding out how much their home was valued, they decided to inquire about a CHIP Reverse Mortgage. They found the calculator tool simple and easy to use. With a quick form asking for their age, the location of their home and their appraised value from their real estate agent, John and April received an immediate estimate on their reverse mortgage. This gave them a better understanding of the real options they had to help them finance their retirement. So now, instead of downsizing, John and April are enjoying their retirement in the comfort of their existing home.
A reverse mortgage calculator can give you a quick and close estimate for a reverse mortgage on your home with just a few questions, or you can fill out an online form for a free estimate , which will be sent to you instantly.
Try the no obligation calculator tool to find out how much you could qualify for https://www.chip.ca/reverse-mortgage-calculators/ . For more information on HomEquity Bank’s current rates, please visit https://www.chip.ca/reverse-mortgage-rates/