Most retirees own their own homes. A growing number (13%) of those aged 67 and over still have a mortgage. But of those approaching retirement, aged 55-64, a staggering 54% are still paying off a home loan.
In early August we discussed the option of downsizing to a more suitable property. There are lots of financial incentives for older Australians to do so. But research tells us that, as we age, most of us wish to stay exactly where we are, in our neighbourhood, with friends and favourite haunts nearby.
What are the options, then, for those who wish to stay in their current home, but need more income for maintenance or other living expenses?
This is where home equity enters the picture.
Today we explain how accessing home equity can work, the three main types of home equity access and some pros and cons of each one.
