The Hong Kong Mortgage Corporation Limited

• be aged 55 or above (or aged 60 or above for owners of subsidised sale flats with unpaid land premium) and a holder of a valid Hong Kong identity card; and
• not be an undischarged bankrupt or otherwise subject to bankruptcy petition or individual voluntary arrangement.

• be a residential property in Hong Kong (property acquired by deed of gift may be considered);
• be owned by:

(i) the borrower as sole and beneficial owner or as joint tenants (if there is more than one borrower); or

(ii) a limited company, incorporated in Hong Kong, wholly and directly held by the borrower (or if there is more than one borrower, all borrowers);

• not exceed 50 years of age (otherwise  it  will be considered on a case-by-case basis);
• not be subject to any resale restrictions (except for the alienation restriction of subsidised sale flats imposed by the relevant authority); and
• not be rented out 

(The borrower may apply to rent out the mortgaged property if it has been owned for at least one year and all the borrowers have:

(i) declared that they have retired; or

(ii) moved out to obtain elderly or medical care.

If the property is a subsidised sale flat with unpaid land premium, the borrower must obtain consent form the relvant authority, in addition to the above requirement of property ownership.)

Lump-sum payouts for specific purposes such as

• refinancing of an existing reverse mortgage or full repayment of other existing mortgage of the borrower’s property which is used as security for the relevant reverse mortgage loan (not applicable to the property owned by a limited company)
• settlement of land premium for subsidised housing property
• payment for home improvement, repairs and maintenance
• medical expenses (treatment outside Hong Kong is acceptable)
• fees for setting up an enduring power of attorney
• purchase of interment right in columbarium and cemetery, as well as expenses for funeral services.

Mortgaged property can be rented out under specific circumstance for a higher income.

^@ For subsidised sale flats with unpaid land premium, the appraised property value is determined by the open market value minus the land premium amount.

^ For any refinancing property with appraised property value at HK$12 million or below, the maximum amount of the specified property value for payout calculation will be 80% of the appraised property value.

^# Determination of maximum amount of specified property value is subject to the aggregate amount of appraised property value in case of more than one property as security under a reverse mortgage loan.

$3,700

$3,300

$3,000

$5,100

$4,600

$4,200

$2,800

$2,500

$2,250

$3,800

$3,500

$3,200

$2,400

$2,100

$1,900

$3,300

$3,000

$2,700

$2,000

$1,800

$1,550

$3,100

$2,800

$2,400 

^* Maximum amount of the specified property value for payout calculation is capped at HK$15 million.

To be charged on the outstanding loan amount on a compound basis.

To be debited to the outstanding loan amount:

1. Upfront Mortgage Insurance Premium is 1.96% of the specified property value, payable by 7 annual instalments starting from the 4^th until the 10^th year.  Each annual instalment is calculated at 0.28% of the specified property value under the reverse mortgage loan.
2. Monthly Mortgage Insurance Premium is payable on a monthly basis at the annual rate of 1.25% of the outstanding loan amount.

To be paid to the counsellor for the counselling service.

To be paid to the solicitors for execution of mortgage documents and other relevant legal documents.

Enquire with a bank which will explain details of the Reverse Mortgage Programme and conduct a preliminary eligibility assessment. Under any circumstance, there is no need to apply for a reverse mortgage loan through other intermediaries (except banks).

After obtaining the Counselling Certificate, a formal application can be submitted. 

Once a formal application is approved, mortgage documents and other related legal documents can be executed.