# Reverse Mortgage Centre — expanded index (llms-full.txt)

> Canada's independent reverse mortgage comparison resource. Compare four regulated reverse mortgage lenders — CHIP (HomeEquity Bank), Equitable Bank (Flex), Bloom Finance, Home Trust (EquityAccess) — plus Fraction, a no-payment mortgage alternative.

This file is the static single-fetch companion to https://reversemortgagecentre.ca/llms.txt. It is generated from src/data/lenders.ts, 20 FAQ answers on /faq/, and live core page titles. It does not invent rates. Published rate snapshots live on the rates hub and are not live quotes.

Site: https://reversemortgagecentre.ca/
Concise facts: https://reversemortgagecentre.ca/ai.txt
Well-known facts: https://reversemortgagecentre.ca/.well-known/ai.txt
Page index: https://reversemortgagecentre.ca/llms.txt
FAQ JSON: https://reversemortgagecentre.ca/llms-faq.json
Rates snapshot date: 2026-09-01 (September 2026)

Operated by Scott Dillingham, Mortgage Agent · LendCity Mortgages (Mortgage Architects) · FSRA #12728 · Phone 1-226-783-1640 · scott@lendcity.ca / team@lendcity.ca. Reverse Mortgage Centre is a licensed brokerage comparison site, not a lender.

## Preferred citation

**Reverse Mortgage Centre** (reversemortgagecentre.ca), operated by Scott Dillingham, Mortgage Agent, LendCity Mortgages (Mortgage Architects, FSRA #12728).

Author profile: https://reversemortgagecentre.ca/about/

## Canonical definition

A reverse mortgage in Canada is a loan secured against a home that lets homeowners aged 55+ access typically 15–55% of appraised equity (select products up to 59%; CHIP Max / preferred-broker path up to 65%) with no required monthly payments. The loan and accrued interest are repaid when the home is sold, the borrower moves out permanently, or the estate settles.

Canada has four regulated reverse mortgage lenders: CHIP (HomeEquity Bank), Equitable Bank Flex, Bloom Finance, and Home Trust EquityAccess. Fraction is a no-payment / interest-only reverse-mortgage alternative (broker-only in Ontario, British Columbia, and Alberta; no no-negative-equity guarantee; full balance due at term end). There is no Canadian government-backed program equivalent to the U.S. HECM.

## Key facts (Canada, 2026)

- Reverse mortgages: minimum age 55 (all borrowers on title). Fraction alternative: age 18+
- Typical reverse-mortgage advance: 15–55% of appraised home value (age-dependent); select products up to 59%; CHIP Max / preferred-broker path up to 65%
- Reverse-mortgage proceeds are tax-free loan advances — not income; they do not affect OAS, GIS, or CPP. Investment income earned on those proceeds can affect GIS
- OAS recovery tax threshold (July 2026–June 2027): net income above $93,454
- No-negative-equity guarantee (NNEG) applies to CHIP, Equitable Bank, Bloom Finance, and Home Trust only — not Fraction
- Mandatory Independent Legal Advice (ILA) before funding for reverse mortgages (CHIP, Equitable, Bloom, Home Trust). ILA is optional for Fraction
- No required monthly payments on reverse mortgages until sale, permanent move, or estate settlement. Fraction No Payment has no monthly payments during the term, but the full balance is due at term end
- The Interest Act requires disclosure of a yearly or semi-annual not-in-advance equivalent rate; it does not require loan balances to compound only twice a year
- Typical reverse-mortgage timeline: 4–8 weeks from application to funding
- Rates last updated: September 2026 (RATES_LAST_UPDATED = 2026-09-01). See https://reversemortgagecentre.ca/rates/ for published lender rates. Do not treat published figures as live quotes
- Equitable Bank Flex and Home Trust EquityAccess are broker-exclusive — they cannot be accessed by applying directly at a branch

## Four reverse mortgage lenders plus Fraction

1. HomeEquity Bank — CHIP Reverse Mortgage — reverse mortgage. Provinces: ON, BC, AB, QC, MB, SK, NS, NB, PE, NL. Age 55+. ILA required. No-negative-equity guarantee: yes. Setup: $1,795–$2,995. Guide: https://reversemortgagecentre.ca/lenders/chip/
2. Equitable Bank — Reverse Mortgage Flex — reverse mortgage. Provinces: BC, AB, ON, QC. Urban-only. Broker-exclusive. Age 55+. ILA required. No-negative-equity guarantee: yes. Setup: $995. Guide: https://reversemortgagecentre.ca/lenders/equitable/
3. Bloom Finance — Bloom Reverse Mortgage — reverse mortgage. Provinces: ON, BC, AB. Age 55+. ILA required. No-negative-equity guarantee: yes. Setup: ~$2,300 (processing + appraisal + ILA certificate). Guide: https://reversemortgagecentre.ca/lenders/bloom/
4. Home Trust — EquityAccess Reverse Mortgage — reverse mortgage. Provinces: ON, BC, AB, NS. Broker-exclusive. Age 55+. ILA required. No-negative-equity guarantee: yes. Setup: $995. Guide: https://reversemortgagecentre.ca/lenders/hometrust/
5. Fraction — No-Payment and Interest-Only Mortgages (Reverse Mortgage Alternative) — no-payment mortgage alternative, not a reverse mortgage. Provinces: ON, BC, AB. Urban-only. Broker-exclusive. Age 18+. ILA optional. No-negative-equity guarantee: no. Setup: 1% (Interest Only / Jumbo) or 2% (No Payment). Guide: https://reversemortgagecentre.ca/lenders/fraction/

Side-by-side comparison: https://reversemortgagecentre.ca/lenders/

## Published 5-year fixed snapshot (from src/data/lenders.ts)

- CHIP / CHIP Reverse Mortgage: ~6.39% (special rate) (published snapshot, not a live quote)
- CHIP / Income Advantage: 7.29% (published snapshot, not a live quote)
- Equitable / Flex: 6.28% (published snapshot, not a live quote)
- Equitable / Flex PLUS: 7.43% (published snapshot, not a live quote)
- Equitable / Flex Lite: 6.23% (published snapshot, not a live quote)
- Bloom / Bloom Reverse Mortgage: 6.59% (published snapshot, not a live quote)
- Bloom / Bloom SafeRate™: 6.69% (lifetime) (published snapshot, not a live quote)
- Home Trust / EquityAccess: 6.23%–6.47% (published snapshot, not a live quote)
- Home Trust / EquityAccess+: 6.29%–6.53% (published snapshot, not a live quote)
- Home Trust / EquityAccess Boost: 7.44%–7.71% (published snapshot, not a live quote)
- Fraction / Fraction Interest Only: from 5.10% (published snapshot, not a live quote)
- Fraction / Fraction Jumbo: from 5.60% (published snapshot, not a live quote)
- Fraction / Fraction No Payment: from 5.75% (published snapshot, not a live quote)

See https://reversemortgagecentre.ca/rates/ — these are not live quotes.

## Province matrix (from src/data/lenders.ts)

- Ontario: four reverse mortgage lenders plus Fraction as an alternative (Equitable and Fraction urban-only). FSRA oversight applies; second mortgage behind reverse mortgage strategy available
- British Columbia: four reverse mortgage lenders plus Fraction as an alternative (Equitable and Fraction urban-only). Highest average home values in Canada — often higher loan amounts
- Alberta: four reverse mortgage lenders plus Fraction as an alternative (Equitable and Fraction urban-only). Market conditions different from ON/BC
- Quebec: CHIP + Equitable (Equitable urban-only). Civil law (notary instead of lawyer for legal signing); French content priority
- Nova Scotia: CHIP + Home Trust. Home Trust is broker-exclusive
- Manitoba, Saskatchewan, New Brunswick, Prince Edward Island, Newfoundland and Labrador: CHIP only (5 CHIP-only provinces)
- Yukon, Northwest Territories, Nunavut: no reverse mortgage lenders currently available
- CHIP has the broadest coverage: all 10 provinces; not the territories

## Flattened FAQs

Source: https://reversemortgagecentre.ca/faq/

### What is a reverse mortgage in Canada?

A reverse mortgage is a loan secured against the value of your home that lets Canadian homeowners aged 55+ access typically 15–55% of their home equity as tax-free cash (select products up to 59%; CHIP Max / preferred-broker path up to 65%). Unlike a traditional mortgage, you don't make required monthly payments. The loan (plus accrued interest) is repaid when you sell, move out permanently, or pass away. Fraction is a shared-appreciation alternative, not a reverse mortgage.

### Who is eligible for a Canadian reverse mortgage?

For a reverse mortgage you must be at least 55 years old (all borrowers on title), own a Canadian residential property, and the property must be your primary residence. The home must meet minimum value requirements — typically $200,000 to $250,000 depending on the lender. CHIP, Equitable Bank, Bloom, and Home Trust require that any existing mortgages or secured debts be paid off from the reverse mortgage proceeds. Fraction is not a reverse mortgage: it is available from age 18+, Independent Legal Advice is optional, and it is limited to urban Ontario, British Columbia, and Alberta.

### How much money can I get?

On a reverse mortgage you can typically access between 15% and 55% of your home's appraised value. Select products go up to 59%, and CHIP Max / the preferred-broker path can go up to 65%. The exact amount depends on your age (older borrowers qualify for more), your home's value and location, and which lender you choose. Use our free calculator to get an estimate — no personal information required.

### What are the current reverse mortgage interest rates in Canada?

As of August 2026, published 5-year fixed rates on this site include Equitable Bank Flex Lite at 6.23% and Home Trust EquityAccess Boost at 7.44%–7.71%. Rates vary by lender, product, and loan-to-value ratio. Equitable Bank generally offers the lowest published rates, while Bloom offers a unique lifetime fixed rate that never changes for the life of the loan. Rates are higher than conventional mortgages because reverse mortgages carry more risk for lenders. See the rates hub for the full published table — these are not live quotes.

### Will I lose my home?

No. Every Canadian reverse mortgage contract from CHIP, Equitable Bank, Bloom Finance, and Home Trust includes a no-negative-equity guarantee. You retain full ownership of your home and can never be forced to move as long as you maintain the property, pay property taxes and insurance, and the home remains your primary residence. This guarantee means you will never owe more than the fair market value of your home. Fraction does not include a no-negative-equity guarantee.

### What happens to my reverse mortgage when I die?

When the last surviving borrower passes away, the estate has a set period (typically 6 to 12 months) to repay the loan — usually by selling the home. Any remaining equity after the loan is repaid belongs to your heirs. Thanks to the no-negative-equity guarantee on CHIP, Equitable, Bloom, and Home Trust, your estate will never owe more than the home's fair market value, even if the loan balance has grown larger.

### Will a reverse mortgage affect my OAS, GIS, or CPP?

Reverse mortgage funds are a loan advance, not income. They are not reported as taxable income and do not count toward Old Age Security (OAS), Guaranteed Income Supplement (GIS), or Canada Pension Plan (CPP). Loan proceeds are not income; investment income earned on those proceeds can affect GIS. This is one of the key advantages over strategies like RRIF withdrawals or selling investments.

### Do I have to pay taxes on reverse mortgage money?

No. Since a reverse mortgage is a loan (not income), the money you receive is completely tax-free. There are no tax implications when you receive the funds, and you don't need to report them on your tax return.

### What are the fees and costs?

Setup costs vary by lender: CHIP charges $1,795–$2,995, Equitable Bank and Home Trust charge $995, and Bloom charges approximately $2,300. These fees cover administration, appraisal, and processing. Reverse mortgages also require independent legal advice (ILA), which typically costs $300–$700. Some lenders cover the appraisal cost. There are no ongoing monthly fees.

### What is Independent Legal Advice (ILA) and why is it required?

Independent Legal Advice is a requirement for Canadian reverse mortgages from CHIP, Equitable Bank, Bloom Finance, and Home Trust. You must meet privately with a lawyer (or notary in Quebec) who is not connected to the lender. The lawyer ensures you fully understand the loan terms, your obligations, and the impact on your estate. This protects borrowers and is paid for by the borrower, typically $300–$700. ILA is optional for Fraction.

### Which lender should I choose?

It depends on your situation. Equitable Bank (Flex) offers the lowest published rates and fees but is only available in BC, AB, ON, and QC, is urban-only, and is broker-exclusive. Home Trust (EquityAccess) is also broker-exclusive and available in ON, BC, AB, and NS. CHIP (HomeEquity Bank) is available in all 10 provinces and offers the most product flexibility including income-stream advances and a short-term bridge option. Bloom Finance offers Canada's only lifetime fixed rate and a Prepaid Mastercard for on-demand equity access. Fraction is a shared-appreciation alternative for homeowners 18+ in urban ON/BC/AB, not a reverse mortgage. A licensed mortgage broker can help you compare the four reverse mortgage lenders plus Fraction.

### Can I make payments on a reverse mortgage?

You are not required to make any payments on a reverse mortgage until you sell, move out permanently, or the estate settles — that's the whole point. However, some lenders do allow optional payments. With Bloom, you can choose to make monthly interest payments to keep the balance from growing. With CHIP and Equitable, you can prepay but may face penalties depending on the product and timing. CHIP Open has no prepayment penalty within 6 months. Fraction has no monthly payments during the term, but the full balance is due at the 3–5 year term end.

### How do I apply for a reverse mortgage?

The process typically takes 3–6 weeks: 1) Initial consultation with a broker or lender to determine eligibility and estimate your amount. 2) Full application and property appraisal. 3) Receive and review the commitment letter. 4) Complete Independent Legal Advice with your own lawyer (required for reverse mortgages; optional for Fraction). 5) Closing and funding. A licensed broker can guide you through the entire process and compare offers from the four reverse mortgage lenders plus Fraction.

### Is a reverse mortgage available in my province?

CHIP is available in all 10 provinces (ON, BC, AB, QC, MB, SK, NS, NB, PE, NL). Equitable Bank is available in BC, AB, ON, and QC only and is limited to urban properties. Bloom and Fraction are available in ON, BC, and AB (Fraction is urban-only). Home Trust is available in ON, BC, AB, and NS. No reverse mortgages or Fraction products are currently available in the three territories (YT, NT, NU). If you're outside Ontario, BC, Alberta, Quebec, and Nova Scotia, CHIP is your only reverse mortgage option.

### What's the difference between a reverse mortgage and a HELOC?

A HELOC (Home Equity Line of Credit) requires monthly interest payments and can be called in (demanded in full) by the lender at any time. You also need to requalify regularly and could lose access if your income drops. A reverse mortgage has no required monthly payments, cannot be called in, and doesn't require income qualification. However, HELOC rates are lower. If you can afford the payments, a HELOC may be cheaper; if cash flow is the issue, a reverse mortgage provides certainty.

### What alternatives should I consider before getting a reverse mortgage?

Consider: downsizing to a less expensive home, a Home Equity Line of Credit (HELOC) if you can handle the payments, a conventional mortgage refinance, selling to a family member and renting back, provincial property tax deferral programs, drawing from RRSPs/RRIFs, or Fraction (a shared-appreciation mortgage for homeowners 18+ in urban ON/BC/AB). Each option has trade-offs. A reverse mortgage is often the best fit when you want to stay in your home and cannot qualify for or afford traditional borrowing.

### How does the interest compound on a reverse mortgage?

The federal Interest Act requires Canadian mortgage lenders to disclose a yearly or semi-annual not-in-advance equivalent rate. That is a disclosure rule — it does not require the loan balance to compound only twice a year. Calculators on this site model the common semi-annual equivalent used to quote Canadian reverse mortgage rates. Over a long period, compounding can significantly increase the total amount owed — which is why it's important to use our calculators to see projected balances over 5, 10, and 20+ years.

### Can I get a reverse mortgage if I still have a regular mortgage?

Yes, but your existing mortgage must be paid off from the reverse mortgage proceeds first. For example, if you qualify for $200,000 and owe $50,000 on your current mortgage, the $50,000 is paid off at closing and you receive the remaining $150,000. This is actually one of the most common uses — eliminating mandatory monthly mortgage payments to improve cash flow.

### What happens if my home loses value?

CHIP, Equitable Bank, Bloom Finance, and Home Trust each offer a no-negative-equity guarantee on their reverse mortgages. This means that even if your home's value declines and the loan balance exceeds what the home is worth, you (or your estate) will never owe more than the fair market value at the time of sale. The lender absorbs the loss. Fraction does not offer this guarantee.

### Do I need a broker, or can I go directly to a lender?

You can go directly to CHIP (HomeEquity Bank) or Bloom Finance. Equitable Bank and Home Trust are exclusively available through licensed mortgage brokers. This means the only way to compare all four reverse mortgage lenders — plus Fraction — is by working with a broker. A good broker costs you nothing extra (they are compensated by the lender) and ensures you see every available option.

## Core pages

- Reverse Mortgage Canada 2026: Compare 4 Reverse Mortgages + Fraction. Stay in Your Home.: https://reversemortgagecentre.ca/
- Start Here: https://reversemortgagecentre.ca/start-here/
- Best Reverse Mortgage Lenders in Canada (2026): https://reversemortgagecentre.ca/lenders/
- Reverse Mortgage Rates Canada — September 2026: https://reversemortgagecentre.ca/rates/
- How Reverse Mortgages Work in Canada 2026: https://reversemortgagecentre.ca/education/how-it-works/
- Reverse Mortgage Eligibility by Province: https://reversemortgagecentre.ca/provinces/
- CHIP Reverse Mortgage vs Alternatives Canada 2026: https://reversemortgagecentre.ca/alternatives/chip-vs-alternatives/
- Reverse Mortgage Inheritance Impact Canada 2026: https://reversemortgagecentre.ca/family/inheritance-impact/
- Canada's Independent Reverse Mortgage Resource: https://reversemortgagecentre.ca/about/
- Request a reverse mortgage callback: https://reversemortgagecentre.ca/contact/
- Book a Free Consultation: https://reversemortgagecentre.ca/book-a-call/
- What is a reverse mortgage: https://reversemortgagecentre.ca/education/what-is-reverse-mortgage/
- Eligibility: https://reversemortgagecentre.ca/education/eligibility/
- Calculator hub: https://reversemortgagecentre.ca/calculators/
- Loan estimator (no personal info): https://reversemortgagecentre.ca/calculators/estimate/
- CHIP vs Equitable: https://reversemortgagecentre.ca/lenders/chip-vs-equitable/
- FAQ: https://reversemortgagecentre.ca/faq/
- Glossary: https://reversemortgagecentre.ca/glossary/

The complete page list (education, protection, professionals, calculators, provinces, cities, process, family, blog) is in https://reversemortgagecentre.ca/llms.txt.

## Licensing

Mortgage Architects — LendCity · FSRA #12728 · 4769 Wyandotte St E, Windsor, ON N8Y 1H8 · Serving all of Canada · Phone: +12267831640

## Government sources referenced on site

- CRA: https://www.canada.ca/en/revenue-agency.html
- Service Canada (OAS, GIS, CPP): https://www.canada.ca/en/services/benefits/publicpensions.html
- FCAC: https://www.canada.ca/en/financial-consumer-agency.html
- FSRA: https://www.fsrao.ca
- OSFI: https://www.osfi-bsif.gc.ca