April 2010

Mr. and Mrs. N. have an existing $75,000 mortgage which is placing financial hardship on their retirement income. They are both in their 60's and wish to enjoy their retirement. They have taken out an Equity Release to pay out their existing mortgage and improve their cashflow. Mr. N. is secure in the decision to take out an equity Release at such a young age, as he is a sole benficiary in a future estate valued over $600,000.


March 2010

Mrs. V. is retired and lives on the Peninsula. She has an existing mortgage of $55,000 and the payments were causing financial hardship with her aged pension and small investment income. A well structured Equity Release allowed Mrs. V. to pay out her existing mortgage, receive an additional $500 per month for the next 10 years, and have a Line of Credit for $10,000 for any future unknown expense.


February 2010

Mr. amd Mrs. C. live in Cheltenham. Some 3 years ago they seemed secure with his superannuation, being $300,000 in shares and $150,000 cash at bank. During the GFC, his share portfolio dropped to $170,000, dividends halved, and the interest rate of term deposits dropped from 8% to 4%. Not wishing to reduce their standard of living, they faced the option of depleting his superannuation more than planned, selling shares or accessing equity until the 2007 levels returned. They decided to access $1,250 per month for the next two years to meet their immediate needs.


January 2010

Mrs. W. lives at Black Rock and has been assessed as low level care. She and her family have seen a number of aged care facilities and decided on a placement which requires an Accommodation Bond of $300,000. Mrs. B. wants to keep her home as her 48 year old son still lives there. The family has negotiated with the aged care facility for a $200,000 lump sum, with the balance paid periodically over a 5 year term, with both payments coming from Equity Release.  


December 2009

Mrs. B. lives in inner south eastern Melbourne. She is 88, does not want to go into aged care and wishes to remain in her home. Due to her ageing condition she requires 24 hour assistance. Her home is valued at $2.1M, having increased by $150k in the past 12 months. Mrs. B’s current investment income is $50k per annum and she requires another $50k to meet her costs of staying in her home. At her age,  Mrs.  B. is able to access the additional funds to pay for the costs of remaining at home, and this decision is fully supported by her two sons.
Mr. and Mrs. S of Mornington Peninsula wanted to renovate their kitchen and garage to a value of about $40,000, but to withdraw the funds from their already depleted superannuation fund did not make sense. So they have taken out a reverse mortgage, with the consideration to repay the amount when the superannuation has regained some of its asset value.


July 2009

November 2009

Miss B. is in her early 70's and lives in a coastal township where she has a number of proprties. It is her desire to carry out significant repairs to one of the properties and make this her future home. She has applied for pre-approved facility, which she can use progressively as the renovations are carried out.


October 2009

Mr. P and his wife are in their late 60's. have a residence in suburban Melbourne and an holiday home. He runs his own business and still has an existing mortgage on his home. Over the next few years he is anticipating a very significant return on a business investment. In the meantime he has the ongoing stress of meeting regular mortgage repayments and this is having an effect on his health. In order to address the worry of their mortgage repayments, they are accessing equity from their  holiday home on a regular monthly basis. They now have the comfort of knowing their repayment commitment will be met until the business investment is realised.

   
September 2009

Mr. and Mrs. C  live in the northern suburbs and have a holiday house on the Mornington Peninsula. Their son had a permanent and serious injury which required modications to be carried out on his home. His income would not cover the cost of repayments and his parents did not want to use their home as security. They were unaware their holiday home is a suitable alternative and were happy to use that equity to carry out the necessary modificatiosn to their son's home 


August 2009

Mrs B. of Bayside Melbourne (aged 82) discussed with her son about taking out a small reverse mortgage of $25,000 to assist with cost of living needs over the next 5 years. She took a number of months to consider her application. She was waking in the middle of the night, worrying about how to pay for the 3 or 4 bills on the kitchen table. Her loan was settled recently and Mrs. B. rang Paul to say "you've made an old woman very happy. I don't have to worry about whether I can afford the cup of coffee anymore" 

June 2009

Mr. and Mrs T. had a city apartment with a standard mortgage and a beachside home. Both are retired and need an income to suit their lifestyle. They decided to turn the apartment into an investment property and took out a reverse mortgage to pay out their existing debt. They now have a rental income, togther with other investments, to suit their needs.

May 2009

Mrs. M. is aged 73 and lives close to the beach in an extremely comfortable apartment. She works part-time in a professional role but recently had some health problems, which saw her income stop and credit card debt rise. She decided she needed to take out a reverse mortgage to pay her credit cards and also allocated some additional equity for when she retires in 2-3 years. Mrs. M has now returned to work with a reduced workload as she does not have to make the regular repayments on the credit cards.  

April 2009

Mr. and Mrs. C. (Melbourne southern suburbs) required some repairs to be made to their home and couldn't afford to pay the costs, on top of a small mortgage. Their income had reduced due to the GFC and they needed to access their home equity to maintain an enjoyable retirement. They applied for a small lump sum (to pay out the home loan, carry out the patio repairs and plan a short holiday) and a flexible drawdown facility (to cover future expenses). They recently rang to say how they enjoyed the warmer weather in Northern Queensland. 

March 2009

Ms. P lives on the Peninsula where she used to run a small B&B to obtain some retirement income. The stress and strain of the B&B was having an affect on her health. The value of her home had increased significantly since 2002 and she needed to address her needs. By closing down the B&B she was able to apply for the Aged Pension. A well structured reverse mortgage was designed to make improvements to her home, take an overseas holiday and provide a regular monthly income for the next 5 years without affecting her pension. PS She loves Alaska. 

February 2009

Mrs. K was assessed by ACAT as "low level" care, and the hostel was asking an Accommodation Bond of $110,000. Her sons did not want to sell Mum's home as it would have affected her mental condition, so they applied for an Accommodation Bond reverse mortgage. They now have the option to keep their mother's home and sell it at an appropriate time to maximise its value. Meanwhile their mother knows her home of 45 years is still there.

January 2009

Mr. and Mrs H. live in an older style fibro home on the Peninsula. They had an old car which could not be driven more than 20 klms without the fear of breaking down, and a bathroom which had a shower over the bathtub. Mrs. H. developed some a medical problem which restricted her from stepping over the bath to get to the shower, and the condition of the car stopped them from visiting their only son and his family. They applied for a reverse mortgage of $30,000. They now have a new bathroom, Mrs. H. has a new oven and a reverse cycle airconditioner for the hot summer days and cold winter evenings. They regularly visit their son in a quality second hand car.