HomeEquity Bank Helps Seniors Create Tax Efficient Cash Flow
TORONTO, Feb. 10, 2014 – HomeEquity Bank, announced the launch of its newest and most innovative product offering for senior homeowners, HomeEquity Bank Income Advantage.
With the Income Advantage, senior homeowners can access equity in their home through 2 separate accounts. The first account is set up for monthly advances and carries a low interest rate of Prime + 1.25%; the second account is set up for lump sum advances and carries a competitive 5 year rate. “This product was developed based on customer feedback and customer need for flexibility” said Steve Ranson, President & CEO, HomeEquity Bank. Customers can start with initial advances as low as $500 per month and increase them over time.
With the HomeEquity Bank Income Advantage homeowners do not have to make any payments – interest or principal – for as long as they live in the home and they are not subject to credit checks and income verification.
HomeEquity Bank Income Advantage provides an opportunity for Financial Planners and Investment Advisors to work with their clients to develop a comprehensive retirement plan inclusive of assets in their portfolio (investments, pensions and home equity). This approach can potentially create tax deferral opportunities and help to optimize retirement income.
“As Canadians are living longer and are more active in retirement, the strategy of using real estate as an integral part of seniors’ retirement planning is a sound solution that can help them achieve their overall financial goals,” said Steven Ranson, President and CEO, HomeEquity Bank. “Over the past 12 months alone, we have seen a 25% increase in volume directly from homeowners looking to unlock the value of their home and enjoy life on their terms”.
HomeEquity Bank Income Advantage is now offered from coast-to-coast directly from HomeEquity Bank, as well as through its extensive referral network of banks, wealth management and mortgage professionals and additional information is available here.
About HomeEquity Bank
HomeEquity Bank is a Schedule I Canadian Bank and is the only national provider of reverse mortgages to homeowners aged 55 and over, Canada’s fastest growing demographic segment. HomeEquity Bank originates and administers Canada’s largest portfolio of reverse mortgages under the CHIP Home Income Plan and HomeEquity Bank brands.
HomeEquity Bank has been the main underwriter of reverse mortgages in Canada since its predecessor, Canadian Home Income Plan, pioneered the concept in 1986.
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