Most People Who Ask About a Reverse Mortgage Already Qualify

The eligibility requirements are simpler than almost any other mortgage product in Canada. Three things: your age, your home, and whether you live in it. This page explains what each means in practice — and what it means that income, employment, and credit score are not on the list.

The Requirements

The Three Requirements — That's the Whole List

Age

All borrowers on the application must be at least 55. There is no maximum age. For couples, both partners must be 55 or older, and the approved amount is calculated based on the younger borrower's age.

Ownership

The property must be owned by the applicant(s) and registered in their name(s). If title is shared with an adult child or former spouse, all title holders must be on the application — or the title situation must be resolved first.

Primary Residence

The property must be the home the borrower actually lives in. Not a second property, not a cottage, not a rental, not an investment property. Primary residence only.

What's Not Required

What the Lenders Do Not Ask For

This is the part that surprises most people.

Income qualificationThe approved amount is based on age and property value — not income. CPP, OAS, pension, investment income — none of it is a factor.
Employment verificationRetired, self-employed, unemployed, or employed — the lender does not ask.
Credit score minimumA basic credit check is conducted. But the approved amount is not determined by score, and a low score alone is not grounds for refusal.
Being debt-freeAn existing mortgage or HELOC is paid out at closing from proceeds. The net amount is the approved figure minus the outstanding balance — and the mandatory payment disappears.
Property Types

Which Properties Qualify

Single-family detached homesYes — broadest approval across all four lenders
Semi-detached and townhousesYes
CondominiumsYes — subject to lender review: building age, reserve fund, owner-occupancy %
Rural and semi-rural propertiesYes — but coverage varies significantly by lender
Properties with secondary suitesGenerally yes — consult a tax advisor on principal residence status
AcreageResidential portion assessed — more conservative LTV
Cottages and seasonal propertiesNo
Rental or investment propertiesNo
Vacant land or commercialNo
Mobile homes (no permanent foundation)No
Co-operative housingNo

Not sure where your property fits? That's what a free consultation is for. Rural properties and condominiums in particular vary significantly across the four lenders — what one lender declines, another may accept.

Couples

Couples — Why Both Partners Should Be on the Application

If both partners are 55 or older and both are on title, both should generally be on the application. Here's why it matters more than most people realise:

When both are listed: The mortgage does not become due if one partner passes away or moves into long-term care. The surviving partner continues in the home with the mortgage in place.

When only one is listed: The mortgage can become due when that person permanently vacates the home — even if the other partner is still living there. This is a risk that can create real hardship for a surviving spouse. The exception (where one partner is under 55) requires careful planning and should be discussed with your broker and your ILA lawyer before proceeding.

Under 55

Under 55 — There Is a Separate Option

If you are under 55 with significant home equity, one lender offers a no-payment term mortgage on freehold properties in British Columbia, Alberta, and Ontario. This is a different product from a reverse mortgage — with meaningfully different risk.

1 yearMaximum LTV 60% — Minimum credit score 550
3 yearsMaximum LTV 49.5% — Minimum credit score 660
4 yearsMaximum LTV 46% — Minimum credit score 660
5 yearsMaximum LTV 43% — Minimum credit score 660

The critical differences from a standard reverse mortgage:

  • Full balance is due at the end of the term
  • Renewal is not guaranteed
  • Full recourse — the no negative equity guarantee does not apply
  • A solid exit plan is required before funding
  • A broker fee may apply and is always disclosed in writing
  • Minimum loan $100,000

Discuss this option carefully. The risk profile is significantly different from a reverse mortgage.

Not Sure If You Qualify? Let's Find Out in 30 Minutes.

Free consultation. No commitment. Greg will run a full assessment for your specific situation across all four lenders.