Document background
The Reverse Mortgage Agreement is designed for Australian senior homeowners who wish to access their home equity while continuing to live in their property. This specialized financial product, regulated under Australian federal and state legislation, differs from traditional mortgages as it requires no regular repayments during the loan term. The document outlines the lending terms, borrower's rights and obligations, negative equity protection, and repayment triggers such as the borrower's death or permanent move to aged care. The agreement must comply with strict regulatory requirements, including mandatory consumer protections and disclosure obligations under the National Consumer Credit Protection Act 2009. It represents a complex financial arrangement requiring careful consideration and independent professional advice, particularly given its target demographic of senior citizens.
