Reverse Mortgages in New Zealand

Access your home's equity without selling or making monthly repayments. Compare providers, understand your options, and make an informed decision.

✓ No monthly repayments • ✓ Stay in your home for life • ✓ FMA regulated providers

What is a Reverse Mortgage?

A reverse mortgage allows New Zealand homeowners aged 60+ to borrow against their home's equity without making monthly repayments. Unlike a traditional mortgage where you pay the bank, with a reverse mortgage the bank pays you.

Keep Full Ownership

You retain complete ownership of your home and can live there for life

No Monthly Repayments

Interest is added to the loan balance - no ongoing payments required

Protected by Law

FMA regulated with mandatory independent legal advice

Quick Example

Home Value
$800,000
Your Age
70 years
Potential Access
$240,000 - $320,000
30-40% of home value
Calculate Your Amount

How Reverse Mortgages Work

1

Apply & Get Approved

Meet age and property requirements, get your home valued

2

Receive Your Money

Get funds as lump sum or regular payments

3

Live in Your Home

Continue living normally while interest is added to the loan

4

Loan Repaid Later

Repaid when you sell, move to care, or pass away

Compare New Zealand Providers

🏦

Heartland Bank

New Zealand's largest reverse mortgage provider

Min Age
60+
Max LVR
Up to 60%
Market leader
Established 2004
Nationwide coverage
Learn More About Heartland Bank
🏛️

SBS Bank

Community-focused mutual bank

Min Age
60+
Max LVR
Up to 40%
Member-owned
Personal service
Flexible approach
Learn More About SBS Bank

Detailed Provider Comparison

FactorHeartland BankSBS Bank
Interest RatesVariable 6.5-8.5%Variable 6-8%
Maximum LVRUp to 60% (age 75+)Up to 40% (age 70+)
Property TypesHouse, townhouse, unitHouse, townhouse
Voluntary RepaymentsUp to 10% annuallyAllowed anytime

Note: Rates and terms change regularly. Always confirm current details directly with providers.

Eligibility Requirements

Personal Requirements

Age 60+ years (both applicants if couple)
New Zealand resident
Property must be main residence
Own home outright or small mortgage

Property Requirements

Minimum value typically $350,000+
Good structural condition
Approved location (most NZ areas)
Standard construction type

Quick Eligibility Check

Most New Zealanders aged 60+ who own their home will be eligible. The main factors are your age, home value, and property condition.

Read Our Detailed Eligibility Guide

Benefits vs Important Considerations

Key Benefits

  • Access Large Amounts: Typically 20-60% of home value
  • No Monthly Repayments: Interest added to loan balance
  • Stay in Your Home: Guaranteed right for life
  • No Negative Equity Risk: Never owe more than home value

Important Considerations

  • Compound Interest: Interest is added to loan annually
  • Reduced Inheritance: Less equity remains for beneficiaries
  • Ongoing Costs: You pay rates, insurance, maintenance
  • Exit Costs: Legal and sale costs when repaying

Need to See the Numbers?

Our interactive calculator shows how compound interest affects your loan balance over time, and what inheritance might remain for your family.

Frequently Asked Questions

More Questions?

Get answers to more specific questions in our comprehensive guides or through our provider comparison tool.

Ready to Explore Reverse Mortgage Options?

Start with our free assessment tool or speak directly with New Zealand's leading providers. Get the information you need to make an informed decision.

✓ No obligation • ✓ Free consultation • ✓ Independent advice required by law