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The case for reverse mortgages in Australia : applying the USA experience Reed, Richard and Gibler, Karen M. 2003, The case for reverse mortgages in Australia : applying the USA experience, in PRRES 2003 : Proceedings of the 9th Annual Conference of the Pacific Rim Real Estate Society 2003, Pacific Rim Real Estate Society, [Brisbane, Qld.], pp. 1-13. Attached Files Name Description MIMEType Size Downloads reed-caseforreverse-2003.pdf Published version application/pdf 80.71KB 212 Title The case for reverse mortgages in Australia : applying the USA experience Author(s) Reed, Richard Gibler, Karen M. Conference name Pacific Rim Real Estate Society. Conference (9th : 2003 : Brisbane, Queensland) Conference location Brisbane, Queensland Conference dates 19-22 January 2003 Title of proceedings PRRES 2003 : Proceedings of the 9th Annual Conference of the Pacific Rim Real Estate Society 2003 Editor(s) [Unknown] Publication date 2003 Conference series Pacific Rim Real Estate Society Conference Start page 1 End page 13 Publisher Pacific Rim Real Estate Society Place of publication [Brisbane, Qld.] Summary In the USA, reverse mortgages have been promoted as a means of accessing equity locked up in a residence, especially after the owner/s has retired. Although there have been some teething problems, the concept of mortgaging the family home after achieving freehold ownership has many merits. Often an asset-rich household must survive on relatively small regular income, and is unable to access the increasing wealth of the family home. A reverse mortgage overcomes this hurdle. The largest asset for many ageing households is their primary place of residence, the traditional house and suburban land parcel. Recently, the Australian housing market has witnessed substantial growth in the value of its capital city housing, especially on the east coast of Australia. This can be attributed to factors such as owner-occupiers trading up to a better class of dwelling, and the continuing gentrification process for owners choosing not to relocate. At the same time, demographic changes have placed pressure on the regular income of retirees, many of whom have no superannuation fund. For example, life expectancy rates continue to rise and there are an increasing proportion of single person households in society. This has placed additional pressure on financial resources of retirees, especially those with a substantial investment in their family home and a relatively small pension. This paper visits the reverse mortgage scenario in the USA and considers potential implications for the Australian market. Strengths and weaknesses of this product are contemplated, and the viability of reverse mortgages is discussed. Although there are obvious benefits for certain segments of society, reverse mortgages are a unique product and caution should be exercised to ensure the public is fully knowledgeable from the outset. Language eng Field of Research 150403 Real Estate and Valuation Services 150201 Finance Socio Economic Objective 970115 Expanding Knowledge in Commerce, Management, Tourism and Services HERDC Research category E1.1 Full written paper - refereed Copyright notice ©2003, PRRES Persistent URL http://hdl.handle.net/10536/DRO/DU:30022346 Document type: Conference Paper Collections: School of Management and Marketing Open Access Collection Related Links Link Description Connect to published version Go to link with your DU access privileges     Unless expressly stated otherwise, the copyright for items in DRO is owned by the author, with all rights reserved. Every reasonable effort has been made to ensure that permission has been obtained for items included in DRO. If you believe that your rights have been infringed by this repository, please contact drosupport@deakin.edu.au. Versions Version Filter Type Mon, 18 Jan 2010, 13:24:25 EST Wed, 10 Mar 2010, 11:40:50 EST Wed, 10 Mar 2010, 11:42:21 EST Wed, 10 Mar 2010, 11:43:00 EST Fri, 12 Mar 2010, 10:47:36 EST Tue, 11 Dec 2012, 07:42:13 EST Wed, 12 Dec 2012, 07:37:08 EST Wed, 12 Dec 2012, 07:44:02 EST Wed, 22 Jan 2014, 13:33:15 EST Filtered Full Access Statistics: 432 Abstract Views, 212 File Downloads  -  Detailed Statistics Created: Mon, 18 Jan 2010, 13:24:25 EST

Every reasonable effort has been made to ensure that permission has been obtained for items included in DRO. If you believe that your rights have been infringed by this repository, please contact drosupport@deakin.edu.au.