Australians are tapping housing wealth to stay put and fund desire to age in place

Homesafe Wealth Release says More Australians Are Using Housing Wealth to Fund Ageing at Home

As more older Australians choose to remain in their homes rather than downsize, Homesafe Wealth Release says a critical retirement planning question is being overlooked: how will ageing at home actually be funded?

The issue is becoming increasingly relevant as government policy, including the Support at Home program, encourages older Australians to remain independent for longer, while rising living costs, home maintenance expenses and healthcare needs place growing pressure on retirement budgets.

According to Homesafe Wealth Release, many retirees are discovering that while they may be asset rich through home ownership, they are often cashflow constrained when it comes to funding the practical realities of ageing in place.

Dianne Shepherd, CEO and Managing Director of Homesafe Wealth Release, says ageing at home is now one of the biggest financial planning challenges facing older Australians.

“Most older Australians want to stay in the homes and communities they know for as long as possible,” Ms Shepherd says.

“But remaining safely and comfortably at home is not cost free. It often requires ongoing spending on home maintenance, repairs, healthcare, transport and everyday living expenses.

“That is why the conversation should not simply be, ‘Should you downsize?’ It should be, ‘What will it take to remain safely and confidently at home, and how will those costs be funded?’”

The Federal Government's Support at Home program, which commenced in late 2025, reflects the growing policy focus on helping older Australians remain in their own homes through access to support services, assistive technology and home modifications.

However, while government assistance can help, many retirees still face significant out-of-pocket expenses associated with maintaining both their homes and their lifestyles.

The latest ASFA Retirement Standard estimates that a comfortable retirement for a homeowner costs $54,840 a year for a single person and $77,375 a year for a couple aged 65 to 84. These costs include coverage for healthcare, utilities, transport, home repairs and maintenance.

“Many Australians assume the family home protects them from financial pressure in retirement, but the reality is that maintaining a home and funding independence can be expensive. The challenge for many homeowners is not a lack of wealth, but a lack of accessible cashflow.”

“A property may be worth hundreds of thousands or even millions of dollars, but unless there is a practical way to access some of that value, it cannot help fund a bathroom renovation, urgent repairs, medical expenses or in-home support.”

Homesafe says it is has seen a 20% increase in enquiries from older homeowners looking to use housing wealth to fund living and property costs without taking on additional debt.

“We are seeing more Australians use housing wealth to pay off existing debts, complete repairs and maintenance, improve home safety and accessibility, and future-proof their homes for long-term living,” Ms Shepherd says.

Unlike traditional equity release products that operate as a loan, Homesafe Wealth Release provides a debt-free equity release solution that allows eligible homeowners to access a portion of their home's value without interest charges, ongoing repayments or a reverse mortgage.

Under the model, homeowners receive an upfront cash payment in exchange for Homesafe receiving an agreed capped share of the property's future sale proceeds. Because the payment is not a loan, there is no compounding interest charges; instead, the cost to the homeowner is the agreed share of the property’s future value that is forgone when the home is eventually sold.

Ms Shepherd says the distinction is important for homeowners who are concerned about debt accumulating later in life.

“Debt-free equity release provides a way for some homeowners to unlock housing wealth without the burden of ongoing loan repayments or compounding interest. It is not the right solution for everyone, but it can provide an important option for homeowners who want to stay in the home they love while accessing the wealth they have spent decades building.”

Homesafe is encouraging older Australians and their families to start conversations earlier about the true cost of ageing at home, rather than waiting until a health event, maintenance issue or financial pressure point forces difficult decisions.

“Australians have worked hard for their homes. The challenge now is ensuring that housing wealth can be used in a way that supports dignity, choice and confidence throughout retirement.”

For more information on Homesafe visit www.homesafe.com.au