Home Equity Bank’s new HEB Advantage product is reshaping how cash-strapped early retirees access home equity in Canada. Launched in late October 2026, this hybrid reverse mortgage allows homeowners aged 55-70 to unlock up to 59% of their home’s value—significantly more than traditional reverse mortgages. For example, a 60-year-old with an $835,000 property could borrow $470,000 instead of the typical $349,500 cap. The catch? Only half the monthly interest is paid upfront; the remainder compounds silently, potentially ballooning a $470,000 loan to $712,000 within a decade at fixed rates. The product targets house-rich, cash-flow-poor retirees, gig workers, and the self-employed who can’t qualify for traditional HELOCs. While rates run 0.60 percentage points higher than standard reverse mortgages, the product undercuts costlier workarounds like private second mortgages. This innovation reflects a broader Canadian crisis: household savings hit just 3.7% in Q2 2026, down from 5.3% a year earlier. For GTA homeowners considering their retirement strategy, understanding the long-term compounding costs is essential. Read the full analysis at the source for detailed comparisons with alternative borrowing options.
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