The Home Equity Access Scheme (HEAS): A Government-Backed Alternative to Reverse Mortgages

The Home Equity Access Scheme (HEAS) allows older Australians to supplement their retirement income by unlocking the equity in their homes—without needing to sell. Offered by the Australian Government, it’s a secure, low-interest alternative to commercial reverse mortgages.

Key Features:

• Eligibility:

  • You must be of Age Pension age or older.

  • Must use Australian real estate as loan security.

• How It Works:

  • Receive payments as a fortnightly amount, a lump sum, or both.

  • Combined loan and pension payments are capped at 150% of the maximum Age Pension rate.

• Interest Rate:

  • Currently 3.95% p.a., compounded fortnightly—lower than private reverse mortgages.

• Repayment:

  • Repay in part or in full at any time.

  • Loan is usually repaid from your estate or sale of the property.

  • No negative equity guarantee means you’ll never owe more than your property’s value.

How to Apply:

• Online: Via your Centrelink account through myGov.

• Offline: Complete form SA496 and submit it at a service centre or by mail.

Important Considerations:

• Think carefully about long-term financial impacts and compound interest.

• Plan ahead for how and when you will repay the loan.

• Seek independent legal or financial advice to ensure the scheme suits your needs.

Want to know if HEAS is right for you?
Contact Age Pension Services today for personalised support to determine if HEAS is right for you.