Reverse Mortgages for Seniors

Debated in Parliament on 6 Feb 2017.

Summary written by AI (learn more)

Lim Biow Chuan asked the Prime Minister whether the government plans to help seniors monetize their immovable assets through reverse mortgages offered by financial institutions.
Tharman Shanmugaratnam, responding for the Prime Minister, stated that financial institutions previously offered reverse mortgages but stopped due to low demand, a trend seen globally, including in the United States.
He noted that property owners have other options to monetize their assets, such as renting out spare rooms or entire properties, right-sizing with the Silver Housing Bonus, or applying for the Lease Buyback Scheme.
Private property owners may also obtain mortgage equity withdrawal loans, subject to credit assessment and underwriting standards by financial institutions.
The government will continue reviewing policies to explore additional monetization options as the population ages and behaviors potentially change.

Questions identified by AI (learn more)

Full Transcript

Lim Biow Chuan

Mr Lim Biow Chuan asked the Prime Minister whether there are plans to assist seniors to monetise their immovable assets by allowing financial institutions to provide reverse mortgages.

Tharman Shanmugaratnam (for the Prime Minister)

Financial institutions (FIs) used to offer reverse mortgages (RMs) to borrowers, but they have stopped because of low demand. Low demand for reverse mortgages is not unique to Singapore. In the United States, only 2% to 3% of eligible homeowners take up reverse mortgages.2

Notwithstanding, property owners have other options to monetise their properties – rent out a spare room or the entire property, right-sizing possibly with the Silver Housing Bonus, or apply for the Lease Buyback Scheme. Private property owners may also obtain mortgage equity withdrawal loans, subject to FIs’ credit assessment and underwriting standards.

As our population ages, behaviour patterns may change. The Government will continue to review its policies to see if more monetisation options can be facilitated.

Summary written by AI (learn more)

Lim Biow Chuan asked the Prime Minister whether the government plans to help seniors monetize their immovable assets through reverse mortgages offered by financial institutions.
Tharman Shanmugaratnam, responding for the Prime Minister, stated that financial institutions previously offered reverse mortgages but stopped due to low demand, a trend seen globally, including in the United States.
He noted that property owners have other options to monetize their assets, such as renting out spare rooms or entire properties, right-sizing with the Silver Housing Bonus, or applying for the Lease Buyback Scheme.
Private property owners may also obtain mortgage equity withdrawal loans, subject to credit assessment and underwriting standards by financial institutions.
The government will continue reviewing policies to explore additional monetization options as the population ages and behaviors potentially change.

Questions identified by AI (learn more)

Reverse Mortgages for Seniors | PAPERCUTS

Reverse Mortgages for Seniors

Debated in Parliament on 6 Feb 2017.

Summary written by AI (learn more)

Lim Biow Chuan asked the Prime Minister whether the government plans to help seniors monetize their immovable assets through reverse mortgages offered by financial institutions.
Tharman Shanmugaratnam, responding for the Prime Minister, stated that financial institutions previously offered reverse mortgages but stopped due to low demand, a trend seen globally, including in the United States.
He noted that property owners have other options to monetize their assets, such as renting out spare rooms or entire properties, right-sizing with the Silver Housing Bonus, or applying for the Lease Buyback Scheme.
Private property owners may also obtain mortgage equity withdrawal loans, subject to credit assessment and underwriting standards by financial institutions.
The government will continue reviewing policies to explore additional monetization options as the population ages and behaviors potentially change.

Questions identified by AI (learn more)

Full Transcript

Lim Biow Chuan

Mr Lim Biow Chuan asked the Prime Minister whether there are plans to assist seniors to monetise their immovable assets by allowing financial institutions to provide reverse mortgages.

Tharman Shanmugaratnam (for the Prime Minister)

As our population ages, behaviour patterns may change. The Government will continue to review its policies to see if more monetisation options can be facilitated.

Summary written by AI (learn more)

Lim Biow Chuan asked the Prime Minister whether the government plans to help seniors monetize their immovable assets through reverse mortgages offered by financial institutions.
Tharman Shanmugaratnam, responding for the Prime Minister, stated that financial institutions previously offered reverse mortgages but stopped due to low demand, a trend seen globally, including in the United States.
He noted that property owners have other options to monetize their assets, such as renting out spare rooms or entire properties, right-sizing with the Silver Housing Bonus, or applying for the Lease Buyback Scheme.
Private property owners may also obtain mortgage equity withdrawal loans, subject to credit assessment and underwriting standards by financial institutions.
The government will continue reviewing policies to explore additional monetization options as the population ages and behaviors potentially change.

Questions identified by AI (learn more)

Reverse Mortgages for Seniors

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Questions Identified

Full Transcript

Lim Biow Chuan

Tharman Shanmugaratnam (for the Prime Minister)

Summary

Questions Identified

Reverse Mortgages for Seniors

Summary

Questions Identified

Full Transcript

Lim Biow Chuan

Tharman Shanmugaratnam (for the Prime Minister)

Summary

Questions Identified