Equity Employees Bank Reverse Mortgage Solutions

Our reverse mortgage stands out as an effective way for you to access your home equity—how you want, when you want.

At Equity Employees Bank, we believe Canadians should consider their entire portfolio of assets in retirement planning. As homes commonly represent the largest asset in a person’s portfolio, accessing equity from it may be the optimal strategy, depending on your circumstances.

Whether you currently have a mortgage and are looking to pay it out with a reverse mortgage, or are simply considering your options, we can help find the right solution.

	Reverse Mortgage Flex Get a quote	Reverse Mortgage Flex PLUS Get a quote	Reverse Mortgage Flex Lite Get a quote
Minimum age	55	70	55
How much of your home’s value can you borrow?	15-55%	45-59%	15-40%
Minimum appraised home value	$250,000
No negative equity guarantee (never owe more than the fair market value of your home^*)	Yes
Independent Legal Advice (ILA) required?	Yes
Advance options (advance types can be combined)	Initial advance Single/Ad-hoc advances Scheduled advances	Initial advance Single/Ad-hoc advances Scheduled advances	Initial advance (lump-sum)
Rates	See Equity Employees Bank’s rates Be sure to compare competitor rates
Lending areas	Cities and most large towns across ON, AB, BC, QC
Prepayment charge	5/4/3 months’ interest in years 1/2/3, respectively 3 months’ interest in years 4-10 No charge in year 11 onwards Note: years 6 onwards, prepay entire balance with no charge with 3 months’ written notice Learn more
Set-up fee	$995 (Plus appraisal, ILA, and legal/closing costs)

*Subject to borrowers meeting their mortgage obligations. Must keep property taxes and home insurance paid and current, maintain property, and keep current all mortgage obligations. Excludes any fees and interest accrued after mortgage due date.

Have questions about the right solution for you?

A Reverse Mortgage Expert is here for you every step of the way—with zero obligations.

1-800-931-2840

Reverse Mortgage Interest Rates & Prepayment Information

You will probably have a lot of questions regarding how the outstanding balance is calculated throughout the life of your reverse mortgage with Equity Employees Bank. The outstanding balance is made up of the principal (the amount you have borrowed), costs and fees, and interest (the percentage we charge for lending the money). You can choose to make prepayments toward your principal and interest at specific times, otherwise payments are only required when the mortgage is due.

Reverse Mortgage Flex Rates
	Reverse Mortgage Flex Rate⁴	Annual Percentage Rate (APR)³
Set-up Fee⁵	$995	-
6 Month Fixed	4.29%	5.94%
1 Year Fixed	3.89%	4.71%
2 Year Fixed	4.34%	4.71%
3 Year Fixed	4.39%	4.62%
5 Year Fixed	4.89%	4.99%
5 Year Adjustable	P + 1.64%	4.24%

Reverse Mortgage Flex PLUS Rates
	Reverse Mortgage Flex PLUS Rate^2,4	Annual Percentage Rate (APR)³
Set-up Fee⁵	$995	-
6 Month Fixed	5.09%	6.69%
1 Year Fixed	4.69%	5.48%
2 Year Fixed	5.14%	5.49%
3 Year Fixed	5.19%	5.39%
5 Year Fixed	5.69%	5.76%
5 Year Adjustable	P + 2.44%	5.04%

Reverse Mortgage Flex Lite Rates
	Reverse Mortgage Flex Lite Rate^2,4	Annual Percentage Rate (APR)³
Set-up Fee⁵	$995	-
6 Month Fixed	4.29%	5.94%
1 Year Fixed	3.79%	4.61%
2 Year Fixed	3.94%	4.32%
3 Year Fixed	3.99%	4.23%
5 Year Fixed	4.29%	4.40%
5 Year Adjustable	P + 1.64%	4.24%

² These rates only apply to certain transactions within Equity Employees Bank’s lending guidelines. Rates and conditions subject to change without notice.

What does APR mean?

³ APR means the cost of borrowing expressed as an annualized interest rate for the Interest Rate Term, based on the Initial Advance Amount, interest and any applicable fees. The APR figures above are based on the following:

A mortgage amount of $150,000 and the accumulated interest for the applicable interest rate term; plus
a set-up fee and a closing fee (varies by province); and
all funds drawn as an initial advance; and
no prepayments

⁴ Rates shown apply to new reverse mortgage originations only and are subject to Equity Employees Bank’s lending guidelines. Rates offered at Interest Rate Reset may differ. All rates and conditions subject to change without notice.

⁵ Set-up fee is a one-time fee that is deducted from the initial advance.

Equity Employees Bank Reverse Mortgage Prime Rate (P)

2.45%

Reverse Mortgage Rate Information

The interest rate displayed is dependent on the interest rate term selected in the drop down menu.

The Reverse Mortgage Prime Rate (P) is the annual rate of interest that is established from time to time by Equity Employees Bank, at its discretion, as a point of reference.

An adjustable interest rate term consists of the Reverse Mortgage Prime Rate plus or minus an adjustment factor and varies automatically if and when the Equity Employees Bank Reverse Mortgage Prime Rate changes.

Interest is calculated and charged daily based on the daily equivalent of a fixed or adjustable interest rate, compounded semi-annually (for a fixed rate) or monthly (for an adjustable rate), not in advance.

Rates are subject to change at any time without notice.

To learn more about reverse mortgage rates, read Making sense of Reverse Mortgage Rates

When is the mortgage due?

Since the Equity Employees Bank Reverse Mortgage is meant for long-term lending with no quantified term, the due date of the mortgage is established on the occurrence of any of these events:

Sale or transfer of the property
Default
When the last borrower moves into a long-term care or retirement residence
When the last borrower passes away

What do I have to pay on the mortgage due date?

Principal and accrued interest
Default expenses, if any
Fees and costs
Prepayment charge, if any

Can I make prepayments?

You can. Although no regular payments are required until the reverse mortgage becomes due, you have the benefit of prepayment privileges. This allows you to prepay your principal or interest without being subject to a prepayment charge (which can be calculated here). Of course, certain conditions must be met.

You can learn more about prepayment charges here.

When can I make a prepayment without charge?¹

Interest Payment

Prepay any of your interest outstanding once per calendar month.

Principal Payment

Prepay up to 10% of your principal once per 12-month period (starting from your initial advance).

After 5 Years

Prepay in excess of 10% of your principal or the entire outstanding balance within 30 days of an interest rate reset date.

After 10 Years

Prepay in excess of 10% of your principal or the entire outstanding balance at any time.

¹Subject to certain conditions.

Note:

Any payments received will be applied first to fees and charges, then to interest before being applied to principal.
If you exceed your prepayment privilege, you will be subject to a prepayment charge and applicable fees.

Manage Your Reverse Mortgage Online

Stay up to date, save time, and know where you stand with online access to all your reverse mortgage loan information through myEquitable. You’ll still receive paper statements, but for those moments you need quick and easy access to your account to check your balance, request scheduled advance changes, or download documents, it’s all available at your fingertips.

Why Choose Equity Employees Bank’s Reverse Mortgage Rates?

No Negative Equity Guarantee

Is there a chance I could owe more than fair market value of my home?

No, provided you have met your mortgage obligations, we guarantee the amount you owe to Equity Employees Bank on the due date will not exceed the fair market value.

What is the fair market value based on?

Fair market value is the amount that would be paid on the open market, on the applicable date, to buy the property, assuming there are no legal claims against the property. This value would be established by a certified home appraiser.