Most Canadians want to age in place. In fact, a recent HomeEquity Bank survey found that 90% of Canadians over 45 would prefer to remain in their own home rather than move to a long-term care facility. Yet very few have planned for the cost of the care that may be needed to make that possible.
The good news is that many homeowners have built substantial equity in their homes over the years. If you are 55 or older, a CHIP Reverse Mortgage from HomeEquity Bank allows you to access up to 55% of your home’s appraised value in tax-free cash, with no required monthly mortgage payments. The loan is repaid when you move, sell your home, or your estate settles.
Here are five ways a reverse mortgage can help fund care while allowing you to stay in the home you love.
1. Pay for In-Home Caregivers
Whether you need help with bathing, dressing, meal preparation, medication reminders, or housekeeping, in-home caregivers can provide valuable daily support. Personal Support Workers (PSWs) typically charge between $30 and $45 per hour, making ongoing care a significant expense for many retirees. Accessing home equity can help cover these costs without disrupting your day-to-day finances.
2. Cover Private Nursing Care
Some health needs require more specialized support from a Registered Practical Nurse (RPN) or Registered Nurse (RN). Private nursing care can cost $45 to $75 or more per hour, depending on the services required. A reverse mortgage can provide the funds needed to access professional medical care at home while preserving other retirement assets.
3. Fund Around-the-Clock Support
As care needs increase, some individuals may require live-in or 24-hour assistance. Around-the-clock home care can cost hundreds of dollars per day, creating financial pressure for retirees and their families. Home equity can help fund ongoing care, allowing you to remain safely and comfortably at home for longer.
4. Make Your Home Safer and More Accessible
The right home modifications can help you maintain independence and make caregiving easier. A reverse mortgage can be used to fund accessibility upgrades such as grab bars, walk-in showers, ramps, wider doorways, or stair lifts. These improvements can reduce safety risks and support aging in place.
5. Protect Your Retirement Savings
Paying for care can quickly reduce retirement savings and investments. By using home equity to fund care costs, you may be able to preserve your RRSPs, RRIFs, and other assets longer while maintaining flexibility in your retirement plan. We recommend speaking with a qualified financial advisor to determine the best approach for your situation.
A Plan That Helps You Stay in Control
Many Canadians would only consider assisted living if they could no longer afford to receive care at home. A reverse mortgage can help bridge that gap by turning a portion of your home equity into accessible funds for caregiving and long-term care needs.
Your home has likely been one of your largest assets for decades. The CHIP Reverse Mortgage from HomeEquity Bank is designed to help you put that equity to work, funding the care and support you need while continuing to live in the place you call home.
If you’d like to learn more about how CHIP may help fund your in-home care, call us toll-free at 1-855-207-3610. Our team of reverse mortgage specialists is here to help!
Exclusive Offer for CARP Members!
As a CARP-Recommended Parter, CARP members receive a cash rebate of $250 upon funding their CHIP Reverse Mortgage!*
*Terms and conditional apply. Please visit www.chip.ca/carp for more information
