Many retirees have achieved the great Australian dream of owning their own homes. However, while they have benefited on paper from the sharp rise in property values, after tapping into their retirement income over a number of years they suddenly come to the realisation that their money is running out. It’s a very common dilemma, and now financial institutions are offering retirees products that allow them to borrow against their house. In this issue we explore the pros and cons of reverse mortgages.
In another article, we take a look at the importance and benefits of salary sacrificing to maximise your income in retirement, including the advantages of using a transition to retirement strategy to significantly boost your superannuation funds at a lower tax rate. While most people insure their house and contents as well as their car, important protection such as life insurance or critical illness covers are not often considered. We look at some sobering facts that will make you think again.
