5-Year Variable Mortgage Rates
5.40%
5 Year Fixed Mortgage Rates
4.29%
- Hold until 90 Days
Yes
Pre-approval
15%
Pre-approval
15%
Lump sum pre-payment
For Halifax homeowners aged 55 and older, reverse mortgages offer a great way to unlock the equity in your home without selling or making monthly payments. Understanding the current reverse mortgage rates is essential to making an informed financial decision.
We’ll also provide an overview of the current rates from top lenders like HomeEquity Bank, CHIP Reverse Mortgage, Bloom Reverse Mortgage and Equitable Bank Reverse Mortgage.
Reverse mortgage rates are the interest rates applied to the money you borrow against your home’s equity. Unlike a traditional mortgage, reverse mortgages don’t require monthly payments. Instead, the loan and accrued interest are repaid when you sell your home, move into long-term care, or pass away. Reverse mortgage rates are generally higher than traditional mortgage rates because the lender takes on more risk by deferring repayment until the loan matures.
Here are the current reverse mortgage rates offered by major lenders in Halifax:
Lender | Fixed Rate | Variable Rate | APR Range |
---|---|---|---|
HomeEquity Bank (CHIP) | 7.00% – 8.95% | 6.65% – 8.50% | 7.5% – 9.9% |
Equitable Bank | 7.25% – 9.10% | 6.90% – 8.75% | 7.6% – 10.1% |
These rates can vary depending on the loan amount, whether you choose a fixed or variable rate, and your home’s location within Halifax.
For more details, visit the Financial Consumer Agency of Canada
Halifax’s booming real estate market has contributed to an increase in reverse mortgage uptake among seniors. Here are some key statistics related to reverse mortgage usage in Halifax:
This graph demonstrates how Halifax homeowners are increasingly using reverse mortgages to access their home equity, providing financial support for a comfortable retirement.
Several factors influence the interest rates you’ll receive on a reverse mortgage in Halifax:
When deciding between fixed and variable rates for your reverse mortgage, consider the following:
Fixed Rates: These offer the benefit of a stable interest rate for the duration of your loan, ensuring predictability and no surprises in terms of how much interest will accumulate.
Variable Rates: Variable rates are tied to market conditions, meaning they can fluctuate over time. While they often start lower than fixed rates, there’s a possibility of increases in the future.
Halifax’s real estate market has been growing rapidly, making reverse mortgages an attractive option for homeowners aged 55 and older. With increasing property values, especially in recent years, Halifax residents can access a substantial portion of their home equity without needing to sell. Reverse mortgages allow seniors to receive tax-free cash to support their retirement, cover healthcare costs, or manage other expenses—all while remaining in their homes.
In 2023, the average home price in Halifax is approximately $470,000, providing a solid base for homeowners to unlock significant equity. As the cost of living rises, Halifax retirees are turning to reverse mortgages as a flexible financial solution that supports their lifestyle without the burden of monthly payments.
You can also check the larest reverse mortgage rates by visiting one of Canada’s top rate comparison sites, Reverse Mortgages Approved.
Reverse mortgage rates are typically higher than those of traditional mortgages due to the nature of the loan. Since repayment is deferred until the home is sold, moved out of, or the homeowner passes away, lenders take on greater risk. This deferred repayment structure means that lenders charge higher rates—usually 1.5% to 2% above regular mortgage rates—to compensate for the risk and lack of monthly payments.
Deciding whether a reverse mortgage is right for you depends on your financial situation, your retirement goals, and how much equity you want to access. Here’s a quick comparison of reverse mortgages versus other financial options available in Halifax:
Feature | Reverse Mortgage | HELOC | Personal Loan |
---|---|---|---|
Interest Rates | 7% – 10% | 4% – 7% | 6% – 12% |
Monthly Payments | None | Required | Required |
Repayment Terms | When the home is sold | Monthly payments | Monthly payments |
Tax-Free Cash | Yes | No | No |
Impact on Government Benefits | No impact | No impact | Potential impact |
Market interest rates, loan amount, age, and home value can all impact the rate you’re offered for a reverse mortgage.
Reverse mortgage rates can be either fixed or variable, depending on your preference. Fixed rates remain stable, while variable rates may fluctuate.
Reverse mortgage rates are higher due to the deferred repayment structure, where the loan and interest are repaid when the home is sold.
The interest rate determines how much interest accumulates over time. Since you don’t make monthly payments, the loan balance grows until it’s repaid.
No, reverse mortgage payments are tax-free, and they won’t impact your Old Age Security (OAS) or Guaranteed Income Supplement (GIS).
Expect costs like appraisal fees, legal fees, and administrative charges, which vary by lender.
Yes, you can sell your home at any time, but the reverse mortgage balance must be repaid from the proceeds.
Yes, most lenders allow early repayment, though penalties may apply depending on the contract terms.
If you’re interested in learning more about reverse mortgage rates in Halifax or need help finding the best rate for your situation, contact us today for a free consultation. Our team can help you compare rates from top lenders and find the best solution for your financial goals.
Citadel Mortgages is one of Canada’s leading brokerages specializing in reverse mortgages. Visit Citadel Mortgages to learn more today.
Curious about how much of your home equity you can unlock with a reverse mortgage? Our easy-to-use Reverse Mortgage Calculator can help you estimate how much you may qualify for based on your home’s current value, your age, and other key factors. This personalized tool gives you a clearer understanding of your financial options, helping you determine whether a reverse mortgage is the right solution for your retirement needs.
5.40%
4.29%
Pre-approval
Pre-approval
Lump sum pre-payment