CHIP Reverse Mortgage

CHIP is a reverse mortgage, a loan secured against the value of the home. Unlike a loan or a regular mortgage, with CHIP you are not required to make regular mortgage payments. The loan is repaid only when the homeowners no longer live in the home.

The homeowner is required to keep the property in good condition, up-to-date with property taxes and property insurance. The money received is tax-free and can be used however the homeowner wishes.

A CHIP Reverse Mortgage can help your clients:

  • Pay off debts
  • Handle unexpected expenses
  • Help children or grandchildren
  • Improve day-to-day standard of living
  • Make a special trip or purchase

Your clients can now stay in their home and community. Homeowners maintain complete ownership and control of the home for as long as they choose to stay.

With a CHIP Reverse Mortgage, there are no regular mortgage payments until the homeowner decides to move or sell.

Up to 55% of the equity in the home is available and can be used however the homeowner wishes.

Your clients can get their finances under control and gain the freedom to set their own plans and priorities.

Enjoy retirement.

The money accessed through CHIP is tax-free and will not affect CPP or OAS.

HomEquity Bank Prime Rate: 3.45%

For Québec: click here to download HomEquity Bank’s current rate sheet.

For all provinces outside Québec: The following is a summary of the current CHIP Reverse Mortgage interest rates and terms offered by HomEquity Bank.

Variable3 5.74% $1,795 6.02%
6 Month 5.74% 6.02%
1 Year 5.74% 6.02%
3 Years 6.24% 6.53%
5 Years 6.49% 6.78%

1 These fees may vary based on individual circumstances.
2 APR is the estimated cost of borrowing for 5 years expressed as an annual percentage. It is based on a mortgage of $150,000 and includes the applicable closing costs.
3 Variable refers to the HomEquity Bank Prime Rate plus a fixed spread of 2.29%. The fixed spread is guaranteed for 5 years. For contract 21-30, the variable rate is 6.14%