The move is aimed at allowing senior citizens with no income but possessing real estate to receive a steady income by putting up their properties as collateral and receiving monthly payments. When they die, banks take over the management of property. Until now, only those 65 years or above were eligible.

Senior citizens owning homes worth US$300,000 will receive around $700 in monthly payments, while homes worth $900,000 will bring in around $2,000 dollars in payment from banks offering the reverse mortgage programs.

Arirang News