Reverse Mortgage Legal Advice in New Zealand

Before taking out a reverse mortgage, it's essential to get independent legal advice. In New Zealand, this step isn't just recommended — most providers, including SBS Bank and Heartland Bank, require it.

Your lawyer will help you fully understand the contract, protect your rights, and ensure the decision fits your long-term financial and family plans.

Why Legal Advice Matters for Reverse Mortgages

Reverse mortgages are complex, long-term agreements. Once signed, they can affect:

Your ownership rights
Your estate and inheritance
Your eligibility for NZ Super or benefits
Your future housing options

Independent legal advice ensures:

You fully understand the costs, fees, and obligations
You're aware of the impact on your estate and beneficiaries
You know your rights under the No Negative Equity Guarantee
You've considered alternatives before committing

What Your Lawyer Will Check

A lawyer experienced in reverse mortgages will typically review:

The loan agreement and repayment terms
Any conditions that may force the sale of your home
Whether interest rates are fixed or variable
Your rights to stay in the home for life
How the loan affects co-owners or future occupants
The process for making changes or ending the agreement early

How to Find a Lawyer in NZ for Reverse Mortgages

When choosing a lawyer:

Look for someone experienced in property law and retirement finance
Ask if they have handled reverse mortgage cases before
Check reviews or get referrals from trusted sources

We work with a network of independent NZ lawyers who specialise in reverse mortgages.

Request a Referral

Key Questions to Ask Your Lawyer

What are my obligations under this reverse mortgage?

How will interest be calculated and added to the balance?

Can I make partial repayments without penalty?

What happens if I move into care or pass away?

How will this affect my children's inheritance?

Are there cheaper or more flexible alternatives?

Frequently Asked Questions

Is legal advice mandatory for a reverse mortgage in NZ?

Yes. Lenders require independent legal advice to ensure you understand the contract.

Who pays for the legal advice?

Usually the borrower pays. Expect around $500–$1,000 in legal fees.

Can I use my family lawyer?

Yes, as long as they're independent from the lender and experienced in property law.

How long does the legal process take?

Usually 1–2 weeks, depending on document review and your availability.

Need Help Finding the Right Lawyer?

Take our quick quiz to get connected with an independent NZ lawyer who specializes in reverse mortgages and can guide you through the process.

Find a Reverse Mortgage Lawyer