“Downsize vs. Reverse Mortgage“
100% Free Guidance, Free Assistance.
Rob Munn direct – 866 410-4740
Private, Confidential & No Obligation.
IF a Reverse Mortgage is not your best path, I will tell You.
- Get Your FREE Estimate with NO Obligation – (866) 410-4740
- Stay In the Home You Love with Tax-Free Cash
- No Monthly mortgage payments – EVER
- 100% FREE service with simple, honest advice
- Privacy and Confidentiality Guaranteed
- NO Negative Equity Guarantee
- * Appraisal value paid in full when Reverse Mortgage is funded
Key Differences
| Feature | Downsizing | Reverse Mortgage |
|---|---|---|
| Living Situation | Move to a smaller home, condo, or rental | Stay in the home and neighborhood you love |
| Equity Access | 100% of net sale proceeds | Up to 55% of appraised value (tax-free) |
| Monthly Payments | None (unless taking a new mortgage or condo fees) | No monthly mortgage payments required |
| Upfront Costs | High (realtor fees, land transfer taxes, moving) | Low (appraisal, setup fee, independent legal advice) |
| Impact on Government Benefits | May impact OAS/GIS if proceeds generate taxable investment income | Zero impact on OAS, GIS, or CPP (tax-free loan proceeds) |
| Home Ownership | Transfer ownership of current home | You retain 100% title ownership and control |
Reverse Mortgage Estimate:
Downsizing to a Smaller Property
Downsizing involves selling your primary residence and purchasing a smaller home, condo, or townhome—or transitioning to a rental.
Pros of Downsizing:
- Access Maximum Capital: Selling frees up 100% of your net equity, allowing you to reallocate funds into TFSA, RRSP, or liquid investments.
- Lower Ongoing Maintenance: Moving from a multi-story detached home to a condo or bungalow reduces yard work, snow shoveling, and major structural upkeep.
- Reduced Property Taxes & Utilities: A smaller footprint usually means lower annual municipality tax bills and energy costs.
Hidden Costs of Downsizing in Ontario
Moving & Legal Costs: Packing services, lawyer closing fees, and land registration costs.
Real Estate Commissions: Typically 4% to 5% plus HST on the sale price of your current home.
Ontario Land Transfer Tax (LTT): Paid on the purchase of the new home. If purchasing in Toronto, you pay both the Provincial LTT and Municipal LTT.
Condo Fees: Replacing home maintenance with monthly condo maintenance fees, which can rise annually.
How to Decide: What Fits You Best?
Choose Downsizing If:
- You actively want a smaller physical living space with fewer stairs or less maintenance.
- You are comfortable leaving your current neighbourhood or city to move somewhere with lower real estate prices.
- You want to maximize the net dollar amount available to invest or pass down.
Choose a Reverse Mortgage If:
You want to provide an early inheritance cash gift to children or grandchildren today while staying in your primary residence.
You love your home, neighbourhood, and routine and have no desire to pack up and move.
The upfront transaction costs of selling and buying in Ontario would wipe out too much of your equity.
You need tax-free supplemental income without triggering OAS/GIS pension clawbacks.
Testimonials
We take pride in helping homeowners achieve financial stability and peace of mind.
“We needed funds for medical expenses and didn’t want to sell our home. Genesis Reverse Mortgages provided the perfect solution. The process was straightforward, and we felt supported every step of the way. Now, we can stay in our home and have the money we need. It’s a huge relief.”
David & Susan L.
“Genesis Reverse Mortgages exceeded our expectations. The consultation was free, and there was no pressure at all. We received a tailored plan that suited our financial situation perfectly. We’re so grateful for the extra cash flow, and we can now enjoy our retirement without financial stress.”
Alice P.
“We were initially hesitant about getting a reverse mortgage, but the team at Genesis Reverse Mortgages made the process so easy and stress-free. They explained everything in detail and answered all our questions. Now, we have the financial freedom to enjoy our retirement without worrying about money. Thank you!”
James & Linda M.
“The decision to go with a reverse mortgage has been life-changing. I was able to pay off my existing mortgage and still have extra money for home improvements and travel. The staff was professional, knowledgeable, and truly cared about my needs. I highly recommend Genesis Reverse Mortgages.”
Margaret T.
“We would like to thank you very much for all you did for us. After jumping through all the hoops and waiting for the money it was all worth it. Thank you again Rob. You excel in the job you do, and we highly recommend you to anyone including our friends.”
D and S
“Rob Munn is a Godsend. Thank you for being so patient and understanding”
G and D