Lifetime Home offers a potential solution.
This article was prepared by Lifetime Retirement Income and is being published by the New Zealand Herald as advertorial.
Are you sitting on a richer retirement?
For many retired Kiwis, their house is the biggest financial asset they own. Yet despite sitting on hundreds of thousands, if not millions, of dollars in property value, day-to-day life can still feel like a financial juggling act.
Groceries, rates, power, petrol… it all adds up. And while NZ Super provides a vital baseline, it’s often not enough to live comfortably, let alone enjoy the little luxuries retirees deserve after decades of work.
If this is a problem for you, Lifetime Home offers a potential solution.
What is Lifetime Home?
Lifetime Home is a unique equity release product designed specifically for retired homeowners aged 70 and over, allowing them to free up some of the wealth sitting in their home. It’s not a reverse mortgage. There’s no loan, no interest, and no monthly repayments.
Instead, it’s based on a simple concept: you sell a pre-agreed share of your home’s equity (typically 35%) in exchange for regular, fortnightly payments based on 25% of your home’s initial value (less ongoing fees) over 10 years. For example, a $1 million house would give you $873 a fortnight for ten years, on top of your NZ Super. You remain the majority owner and stay in your home for as long as you can and wish. After the 10-year period, the payments stop, but you continue living there, debt-free.
It’s a potential solution that may give retirees more breathing space today, while providing confidence for tomorrow.
Enjoy retirement on your terms
After more than a decade talking to Kiwis about their needs in retirement, Lifetime founder and managing director Ralph Stewart noticed how many retirees are cautious with their money not because they want to be, but because they feel they have to be.
“They’ve worked hard, paid off their mortgage, and now live frugally to make sure there’s something left to pass on to their children. While that’s an admirable instinct, it often comes at the expense of their own comfort and wellbeing,” he said.
Lifetime Home provides a middle ground: a way to improve quality of life now and retain a portion of home equity to leave as an inheritance later.
It’s about shifting the question from “Can I afford to enjoy retirement?” to “Why shouldn’t I?”
Take the pressure off
The rising cost of living means more older New Zealanders are feeling financial pressure. A recent report from the Retirement Commission found that around a quarter of retirees own their home outright but still struggle financially because of limited income or savings. The report also pointed out that accessing home equity could be a lifeline for many who might otherwise be lured by higher-cost consumer debt.
Lifetime Home helps bridge that income gap, without forcing anyone to downsize or borrow against their home.
It’s a flexible way to free up funds to help with everyday costs like groceries or utilities, occasional treats, whether that’s meals out, short getaways, or new hobbies and ice creams for the grandchildren.
Debt-free and designed for greater certainty and transparency
What sets Lifetime Home apart is its clarity and predictability.
Lifetime Home’s biggest benefit is its transparency. You know from the get-go exactly how much equity you’re releasing (35%), what you’ll keep (65%), and all the fees (e.g., 0.20% establishment fee, 0.23% annual fee for 10 years and $1000 adjusted by CPI annually after year 10).
The agreement is based on an exchange of equity for fortnightly payments, not a loan. And you know from day one exactly what portion of your home you’ve sold, what you’ll retain, and how much you’ll receive. Unlike reverse mortgages, which may be affected by changing interest rates, this arrangement keeps these factors agreed upfront.
Lifetime Home offers a route to a more comfortable retirement with fixed, predictable payments and the security of knowing you can remain in your home for as long as you can.
Want to leave something behind?
Most retirees still want to leave a financial legacy for their loved ones. But that shouldn’t mean living with stress or sacrificing your lifestyle.
With Lifetime Home, you can have both. Even after selling a share of your home’s equity, you’ll retain the majority (typically 65%) to pass on when the time comes. That means you can live well now, while knowing you’ll still leave something meaningful for your family.
The bottom line
Lifetime Home delivers a fresh, forward-thinking way to unlock the value of your home in retirement, without the pitfalls of debt or interest.
If you’re over 70, own your home outright, and want more financial flexibility without moving or borrowing, this could be a solution worth considering.
You’ve earned the right to enjoy your retirement. Let your home help make that possible.
To learn more about Lifetime Home, visit lifetimeincome.co.nz.
This article is for information purposes only and should not be considered financial advice. Clients must seek legal advice from a qualified professional before we can proceed with an Agreement.