With the latest official cut in interest rates on December 2nd, reverse mortgage rates have reached a near all-time low in Australia. Some lenders are now offering variable rates at just 7.65%. This is down from over 10.00% just a few short months ago.
The good news is that Australian seniors can expect these rates to keep falling. Indeed, it is very possible that reverse mortgage rates will fall to under 6% as the Reserve Bank seeks to kick start the economy with further interest rate cuts in 2009.
Amongst the doom and gloom of lost superannuation and share values, there is at least one positive: the cost of accessing home equity to get through the tough times is as cheap as it has ever been. For more info on the best reverse mortgage loans go here.
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There is obviously a lot to know about this. I think you made some good points in Features also.