Reverse Mortgage Rates in Canada
Compare current reverse mortgage rates in Canada from CHIP, Equitable Bank, Home Trust, and Bloom. When comparing reverse mortgage rates, look beyond the headline rate and compare APR, fees, payment options, prepayment terms, and whether the rate shown is for a new mortgage, a reset, or an additional advance. The reverse mortgage rates shown below apply to newly originated reverse mortgages. APRs are shown for comparison and include interest costs along with certain fees, such as legal fees, appraisal fees, and other closing costs.
Today's Reverse Mortgage Rates
CHIP Reverse Mortgage Rates
CHIP Reverse Mortgage is HomeEquity Bank's standard reverse mortgage product. It is designed for homeowners aged 55+ who want to access home equity without regular monthly mortgage payments.
| Lender | Term | Rate | APR |
|---|---|---|---|
| HomeEquity Bank | 1 Year Fixed | 6.99% | 7.91% |
| HomeEquity Bank | 3 Years Fixed | 6.94% | 7.62% |
| HomeEquity Bank | 5 Years Fixed | 6.64% | 7.06% |
| HomeEquity Bank | 5 Year Variable | 7.11% | 7.54% |
| HomeEquity Bank | 5 Year Variable | 8.11% | 8.45% |
CHIPMax
CHIP Max is designed for homeowners who want to access a larger amount of their home equity. It may allow a higher borrowing amount than the standard CHIP product, depending on age, home value, and eligibility.
| Lender | Term | Rate | APR |
|---|---|---|---|
| HomeEquity Bank | 1 Year Fixed | 8.59% | 9.07% |
| HomeEquity Bank | 3 Years Fixed | 8.54% | 9.01% |
| HomeEquity Bank | 5 Years Fixed | 8.24% | 8.7% |
| HomeEquity Bank | 5 Year Variable | 8.36% | 8.83% |
CHIPOpen
CHIP Open is designed for borrowers who want more repayment flexibility. It may be a better fit for homeowners who want the option to repay the reverse mortgage in full without prepayment penalties.
| Lender | Term | Rate | APR |
|---|---|---|---|
| HomeEquity Bank | 3 Year Variable | 8.95% | 9.55% |
Income Advantage
Income Advantage is designed for homeowners who want to receive funds over time instead of all at once. It may be suitable for retirees who prefer scheduled advances to support ongoing cash flow.
| Lender | Term | Rate | APR |
|---|---|---|---|
| HomeEquity Bank | 1 Year Fixed | 6.99% | 7.9% |
| HomeEquity Bank | 3 Year Fixed | 6.94% | 7.8% |
| HomeEquity Bank | 5 Year Fixed | 6.64% | 7.62% |
| HomeEquity Bank | 5 Year Variable | 7.11% | 7.78% |
Equitable Bank Reverse Mortgages
Equitable Bank offers three reverse mortgage products: Reverse Mortgage Flex, Flex PLUS, and Flex Lite. The Flex and Flex Lite reverse mortgages are available to Canadian homeowners aged 55 or older, while the Flex PLUS has a higher minimum age requirement of 70.
Flex Rates
Flex is Equitable Bank's standard reverse mortgage product. It is designed for homeowners who want flexible access to home equity, including lump-sum and scheduled-advance options.
| Lender | Term | Rate | APR |
|---|---|---|---|
| Equitable | 6 Month Fixed | 6.98% | 8.67% |
| Equitable | 1 Year Fixed | 6.89% | 7.61% |
| Equitable | 2 Year Fixed | 6.69% | 6.99% |
| Equitable | 3 Year Fixed | 6.84% | 7% |
| Equitable | 5 Year Fixed | 6.54% | 6.59% |
HomeTrust Reverse Mortgages
Home Trust is the newest lender to offer reverse mortgages in Canada as they introduce the EquityAccess reverse mortgage product line, which includes EquityAccess, EquityAccess+, and EquityAccess Boost.
EquityAccess
EquityAccess is Home Trust's standard reverse mortgage product.
| Lender | Term | Rate | APR |
|---|---|---|---|
| Home Trust | 3 Year Fixed | 6.64% | 7.01% |
| Home Trust | 5 Year Fixed | 6.44% | 6.68% |
| Home Trust | 5 Year Adjustable | 7.05% | 7.2% |
Bloom Reverse Mortgages
Bloom offers reverse mortgages to homeowners aged 55 and older in Ontario, Alberta, and British Columbia. Like other reverse mortgage lenders, Bloom allows eligible homeowners to access up to 55% of their home value without regular monthly payments.
| Lender | Term | Rate | APR |
|---|---|---|---|
| Bloom | 1 Year Fixed | 6.94% | 7.17% |
| Bloom | 3 Year Fixed | 6.89% | 7.12% |
| Bloom | 5 Year Fixed | 6.59% | 6.82% |
A reverse mortgage lets you access money using your home equity without requiring any monthly mortgage payments. This lets homeowners over the age of 55 borrow money and not have to worry about paying it back until they choose to sell their home. In the meantime, interest will accumulate on their reverse mortgage.
How to Compare Reverse Mortgage Rates
When comparing reverse mortgage rates in Canada, do not focus only on the headline rate. You should also compare:
- APR
- Upfront fees and closing costs
- Whether the rate is fixed, variable, or for an open mortgage
- Payment options, such as lump sum or scheduled advances
- Prepayment terms and penalties
- Product eligibility, including minimum age, minimum home value, and lending area
A reverse mortgage with a slightly lower rate is not always the cheaper option if its fees or prepayment terms are less favourable.
Why Are Reverse Mortgage Rates Higher?
Reverse mortgage rates are usually higher than regular mortgage rates and HELOC rates because the lender is repaid later and takes on more uncertainty over time.