Which Banks?

Which Banks Offer Reverse Mortgages in Australia?

Many Australians researching reverse mortgages start with a simple question:

Which banks offer reverse mortgages in Australia?

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The answer may surprise many homeowners.

Unlike traditional home loans, reverse mortgages are not offered by every bank. In fact, most major Australian banks no longer provide reverse mortgage products directly, meaning homeowners often need to look beyond the Big Four when comparing reverse mortgage options.

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Today, reverse mortgages are typically provided by a combination of specialist retirement lenders, mutual banks and home equity release providers that focus specifically on helping older Australians unlock the equity in their homes.

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At Plus Equity, we help homeowners compare reverse mortgage providers, understand lender differences and identify solutions that align with their retirement goals.

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Do The Big Four Banks Offer Reverse Mortgages?

One of the most common misconceptions is that Commonwealth Bank, Westpac, NAB and ANZ actively offer reverse mortgages.

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In reality, the major banks have largely exited the reverse mortgage market, leaving specialist lenders and smaller banking institutions to serve the growing demand for home equity release solutions.

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This means homeowners searching for a reverse mortgage often need to compare a broader range of lenders than they might for a traditional home loan.

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Who Offers Reverse Mortgages In Australia?

Australia's reverse mortgage market includes a mix of specialist providers and mutual banks.

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Some of the most recognised names in the Australian reverse mortgage sector include:

• Heartland Bank

• Household Capital

• Gateway Bank

• P&N Bank

• G&C Mutual Bank

• IMB Bank

• Regional Australia Bank

• Unity Bank

• Australian Seniors Advisory Group (ASAG)

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Each lender has different eligibility requirements, borrowing limits, interest rates and product features.

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As a result, comparing providers is often more important than simply selecting the first available lender.

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Why Aren't More Banks Offering Reverse Mortgages?

Reverse mortgages operate very differently from traditional home loans.

Unlike a standard mortgage:

• Borrowers generally do not make regular repayments

• Interest compounds over time

• Loans may remain in place for many years

• Repayment is typically deferred until the property is sold

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These unique characteristics require specialised lending systems, risk management processes and retirement-focused expertise.

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For this reason, many mainstream banks have chosen not to participate in the reverse mortgage market.

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Are All Reverse Mortgage Lenders The Same?

Absolutely not.

This is one of the biggest mistakes homeowners make when comparing reverse mortgage providers.

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Differences may include:

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Borrowing Capacity

Some lenders may allow homeowners to access more equity than others.

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Minimum Age Requirements

Eligibility requirements vary between providers.

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Interest Rates

Reverse mortgage rates can differ significantly across lenders.

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Drawdown Options

Some lenders offer:

• Lump sums

• Income streams

• Line of credit facilities

• Combination options

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Repayment Flexibility

Certain providers allow voluntary repayments that can reduce future interest costs.

These differences can have a major impact on long-term outcomes.

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Which Reverse Mortgage Provider Is Best?

There is no single lender that is best for every homeowner.

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The most suitable reverse mortgage provider depends on:

• Your age

• Property value

• Location

• Retirement goals

• Borrowing requirements

• Estate planning objectives

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A lender that suits a homeowner in Sydney may not necessarily be the most appropriate option for a homeowner in regional Australia.

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This is why comparing reverse mortgage lenders remains one of the most important steps in the process.

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Reverse Mortgage Providers vs The Government Home Equity Access Scheme

Many Australians comparing reverse mortgages also investigate the Federal Government's Home Equity Access Scheme.

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While both solutions allow homeowners to access equity, they operate differently and have different eligibility requirements.

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For some retirees, a reverse mortgage may provide greater flexibility.

For others, the Home Equity Access Scheme may be worth considering as part of a broader retirement funding strategy.

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Understanding both options can help homeowners make more informed decisions.

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Questions To Ask Before Choosing A Reverse Mortgage Lender

Before selecting a provider, homeowners should ask:

• How much can I borrow?

• What interest rate applies?

• Are there any ongoing fees?

• Can I make voluntary repayments?

• What happens if I move into aged care?

• How will the loan affect my remaining home equity?

• What options are available for accessing funds?

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These questions can help identify meaningful differences between lenders.

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Why Comparing Reverse Mortgage Lenders Matters

A reverse mortgage is often a long-term financial decision.

Small differences in lender policies today can affect:

• Future borrowing flexibility

• Total interest costs

• Remaining home equity

• Estate outcomes

• Retirement cash flow

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For this reason, many homeowners compare multiple lenders before proceeding.

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Why Australians Compare Reverse Mortgage Providers With Plus Equity

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At Plus Equity, we help homeowners compare reverse mortgage lenders, understand home equity release options and navigate the growing range of retirement funding solutions available across Australia.

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Whether you're researching reverse mortgage providers, comparing lenders or exploring alternatives, our goal is to help you make informed decisions with confidence.