Taking out a reverse mortgage may impact your eligibility for a pension or other benefit entitlements.  For example, if you elect to take your loan, or part thereof, as a regular income payment but save that income rather than spending it, those savings may count towards the ‘income test’ (and assets test) for pension eligibility.

We recommend that you speak with Centrelink or the relevant government agencies before taking out a reverse mortgage.

We also recommend that you speak with an independent financial advisor, who can help you understand the potential impact of the loan on your financial situation, now and over the longer term.