Cleaning up a financial mess – So she could stay in her home

101 Uses for a Reverse Mortgage

Real stories. Real solutions.

Welcome back to our series, 101 Uses for a Reverse Mortgage, where we highlight the unexpected, and practical ways Australians are using reverse mortgages to create security, freedom, and financial independence in retirement.

Each week, we bust the myths surrounding these loans by sharing real case studies* — no hype, no jargon, just real people solving real challenges with the right guidance and advice.

Case Study 4: Cleaning Up a Financial Mess—So She Could Stay in Her Home

Client Profile:

• 80-year-old woman
• Lives in Adelaide, South Australia
• Sole income includes a Home Equity Access Scheme (HEAS) top-up
• Property value: $550,000
• Loan required: $190,000
• Application submitted by her son (Power of Attorney)

Challenge

Our client’s situation was complex — the kind of financial tangle that most people would find impossible to resolve on their own.

She owned 50% of her Adelaide home, held under a Tenants in Common title with her now-bankrupt husband. His 50% share had since passed to the Bankruptcy Trustee, and the client’s son, acting as her Power of Attorney, needed help to clean up the situation so she could stay in her home without legal and financial uncertainty hanging over her.

To make things even more complicated, the property had a caveat due to the Home Equity Access Scheme (HEAS) — a government scheme providing her with a modest income stream. Since HEAS can’t sit behind a reverse mortgage, this facility also needed to be repaid and discharged as part of the process.

It was a legal and logistical headache. But we saw a clear way forward.

Solution

We arranged a $190,000 reverse mortgage that allowed her to:

• Buy out the bankrupt husband’s share of the home from the Bankruptcy Trustee
• Discharge the HEAS facility and remove the caveat
• Transfer full ownership of the property into her sole name

By converting the title from Tenants in Common to full sole ownership, the reverse mortgage cleared the way for a fresh start. No more legal entanglements. No more uncertainty.

Her son worked closely with us throughout the process, ensuring all the moving parts came together — legally, financially, and emotionally.

The Outcome

The home is now 100% hers. The bankruptcy trustee is gone. The caveat has been lifted. The title only has one mortgage registered on it (to the new reverse mortgage lender), the HEAS has been closed, and there’s nothing stopping her from staying in her home — on her terms.

• No more shared ownership
• No more trustee involvement
• No more tangled income streams
• Just one clear outcome: ownership and peace of mind

Why This Matters

Some situations aren’t neat and tidy. Life gets complicated. Relationships end. Finances twist and turn. But that doesn’t mean there aren’t options.

In this case, the reverse mortgage wasn’t just a loan — it was a way to untangle a mess, reclaim security, and allow an 80-year-old woman to stay in the place she calls home.

Do You Know Someone Like This?

Maybe they’re tied to an ex-spouse on a title. Maybe they’ve got government income streams clashing with real-world needs. Maybe the paperwork is a mess, and they feel stuck.

They’re not alone — and there are solutions.

If you or someone you know is struggling with:

• Complicated home ownership
• Legal financial entanglements
• The fear of losing control in retirement

We’re here to help. No judgement. Just smart, respectful advice — and the right strategy to get things sorted.

*This case study is based on a real client scenario. Names and identifying details have been changed to protect privacy. The information is general in nature and not financial advice. Results described reflect this client’s circumstances and may not be typical. Please seek advice tailored to your own situation.