TORONTO, Feb. 10, 2014 /CNW/ - HomEquity Bank, announced the launch of its newest and most innovative product offering for senior homeowners, HomEquity Bank Income Advantage.
With the Income Advantage, senior homeowners can access equity in their home through 2 separate accounts. The first account is set up for monthly advances and carries a low interest rate of Prime + 1.25%; the second account is set up for lump sum advances and carries a competitive 5 year rate. "This product was developed based on customer feedback and customer need for flexibility" said Steve Ranson, President & CEO, HomEquity Bank. Customers can start with initial advances as low as $500 per month and increase them over time.
With the HomEquity Bank Income Advantage homeowners do not have to make any payments - interest or principal - for as long as they live in the home and they are not subject to credit checks and income verification.
HomEquity Bank Income Advantage provides an opportunity for Financial Planners and Investment Advisors to work with their clients to develop a comprehensive retirement plan inclusive of assets in their portfolio (investments, pensions and home equity). This approach can potentially create tax deferral opportunities and help to optimize retirement income.
"As Canadians are living longer and are more active in retirement, the strategy of using real estate as an integral part of seniors' retirement planning is a sound solution that can help them achieve their overall financial goals," said Steven Ranson, President and CEO, HomEquity Bank. "Over the past 12 months alone, we have seen a 25% increase in volume directly from homeowners looking to unlock the value of their home and enjoy life on their terms".
HomEquity Bank Income Advantage is now offered from coast-to-coast directly from HomEquity Bank, as well as through its extensive referral network of banks, wealth management and mortgage professionals and additional information is available at www.homequityincomeadvantage.ca.
About HomEquity Bank
HomEquity Bank is a Schedule I Canadian Bank and is the only national provider of reverse mortgages to homeowners aged 55 and over, Canada's fastest growing demographic segment. HomEquity Bank originates and administers Canada's largest portfolio of reverse mortgages under the CHIP Home Income Plan and HomEquity Bank brands.
HomEquity Bank has been the main underwriter of reverse mortgages in Canada since its predecessor, Canadian Home Income Plan, pioneered the concept in 1986.
For more information about HomEquity Bank, please visit www.homequitybank.ca.
SOURCE: HomEquity Bank
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