Equitable Bank adds to its suite of products aimed at helping homeowners age in place while preserving their hard-earned equity
TORONTO, Nov. 10, 2020 /CNW/ - Equitable Group Inc. (TSX: EQB) (TSX: EQB.PR.C), through its wholly-owned subsidiary Equitable Bank, is introducing a new reverse mortgage product that gives Canadian retirees more options for accessing their home equity. Equitable Bank's Reverse Mortgage Flex allows homeowners to access more money on their reverse mortgage than previously available -- up to 55% of their home's value. Equitable's original Reverse Mortgage product remains an attractive option for homeowners who need access to less money at record-low rates.
"More than 90%1 of retired Canadians intend to stay in their homes for as long as possible." said Paul von Martels, Vice-President of Reverse Mortgage Lending at Equitable Bank. "The current environment has made higher density living options, like retirement homes, understandably less appealing. The typical approach of selling one's home to fund later-in-life needs is becoming an inferior option. We're seeing first-hand that Canadians want access to more of their home equity to finance their aging in place plans. By listening to our customers and challenging ourselves to find better banking options for all Canadians, we believe we can be part of the solution."
A reverse mortgage gives homeowners access to the existing equity in their home, turning a portion of it into a source of cash—tax and payment free. By allowing homeowners to access up to 55% of their home's value (up from the previous limit of 40%), this financing solution allows for a renewed focus on homeowners' priorities: like paying off debt, covering everyday expenses, making renovations, and supporting family—all while retaining ownership and use of their home.
"The addition of Reverse Mortgage Flex is a critical part of our decumulation strategy; one aimed at providing more benefits for Canadian seniors," said Mahima Poddar, SVP and Group Head of Personal Banking at Equitable Bank. "We have built a full-service home equity suite of products with the best rates and features designed to preserve the client's hard-earned equity and ultimately provide greater value to enrich people's lives.
Canadian retirees in Alberta, British Columbia, Ontario, and Quebec who are exploring how to finance their age-in-place plans can now access Reverse Mortgage Flex, either directly with Equitable Bank or through a mortgage broker.
More information about Equitable Bank Reverse Mortgages, including how to apply:
National Institute on Aging. Pandemic Perspectives on Ageing in Canada in Light of COVID-19: Findings from a National Institute on Ageing/TELUS Health National Survey. October 2020. https://www.nia-ryerson.ca/reports
About Equitable Group Inc.
Equitable Group Inc. is a growing Canadian financial services business that operates through its wholly owned subsidiary, Equitable Bank. Equitable Bank, Canada's Challenger BankTM, has grown to become the country's ninth largest independent Schedule I bank through its proven branchless approach and customer service focus in providing residential lending, commercial lending and savings solutions to Canadians. EQ Bank, the digital banking platform offered by Equitable Bank, provides state-of-the-art digital banking services. The Savings Plus Account reimagines banking for Canadians by offering the functionality of a chequing account to perform daily banking with ease, as well as a great everyday interest rate to help transactional balances grow into bigger savings. From unlimited Interac e-Transfers® and bill payments to payroll deposits and no monthly fees, everyday banking is now a richer prospect for Canadians. Equitable Bank is a member of Canada Deposit Insurance Corporation (CDIC) and employs over 900 dedicated professionals across the country. For more information about Equitable Bank and its products, please visit equitablebank.ca.
SOURCE Equitable Bank