Yes, you can get a home loan as a retiree or close to retirement. Lenders cannot refuse you simply because of your age, but they must be satisfied you can repay without substantial hardship. A shorter term, a smaller loan or a larger deposit all make approval easier.

So lenders look at income that continues in retirement, such as a pension, super or investment income, and at how the loan will be repaid if your income falls, including an exit strategy when the term runs past your working life.

What income do lenders accept in retirement?

  • Superannuation income streams, such as an account-based pension, with statements showing the payments.
  • The Age Pension, accepted by some lenders as part of income, often alongside other income.
  • Rental income from investment properties, usually counted at a discount for vacancy and costs.
  • Dividends and interest from investments, with a history of payments.
  • Part-time or consulting work, assessed like any other employment or self-employed income.

Each lender treats these differently, which is why lender choice matters more for retirees than for most borrowers.

What is an exit strategy, and when is it needed?

When the loan term extends past the age you are likely to retire, or past a point where your income is expected to drop, lenders ask how the loan will be repaid. Common exit strategies are:

  • Downsizing: selling the home or another property and repaying the loan from the proceeds.
  • A superannuation lump sum available at or after retirement.
  • Selling an investment property or shares.
  • Repaying the loan over a shorter term that ends while income continues.

The lender may ask for evidence, such as a super statement or the equity in another property, and the strategy has to be realistic for your situation.

How can you improve your chances?

Factors that help an older borrower
Factor Why it helps
Larger deposit or more equity A lower loan to value ratio reduces the lender’s risk
Shorter loan term Repayment finishes while income continues
Smaller loan Repayments fit comfortably within retirement income
Documented income Pension statements, tax returns and investment records
A clear exit strategy Shows how the loan is repaid if income falls

The borrowing power calculator gives a first figure, and the repayments calculator shows how a shorter term changes the repayment.

What situations do older borrowers face?

Downsizing with a short gap between buying and selling. A bridging loan can cover the overlap, assessed largely on the sale proceeds. Refinancing an existing loan into retirement, for a better rate or lower repayments; see refinancing. Helping a child buy as a guarantor, which has its own risks for retirees; the worked example on retired guarantors explains them. Releasing equity for renovations or other purposes, where repayments must still fit retirement income.

What other options do older homeowners have?

Some retirees with substantial equity but limited income look at products designed for later life, such as reverse mortgages from specialist providers or the Australian Government’s Home Equity Access Scheme administered by Services Australia. These work differently from an ordinary home loan, with interest that compounds on the balance, and they deserve independent financial and legal advice before you commit. The Home Equity Access Scheme article explains how the government scheme works, its 3.95% rate and its limits.

How does a shorter term change the repayment?

A $300,000 loan at a 6% example rate
Term Monthly repayment Total interest
10 years About $3,331 About $100,000
15 years About $2,532 About $156,000
25 years About $1,933 About $280,000

A shorter term costs more each month but finishes sooner and saves interest, and it is often what makes a lender comfortable with an older borrower. The figures are illustrative.

What documents should you prepare?

  • Super income stream statements and the latest annual statement.
  • Centrelink income statement if the Age Pension is part of your income.
  • Tax returns, especially where investment or consulting income is involved.
  • Leases and rental statements for investment properties.
  • Evidence for the exit strategy, such as a super balance or a recent appraisal of a property you plan to sell.

How do lenders read an account-based pension?

An account-based pension pays a regular income from your super, and lenders look at both the payment and the balance behind it. The law sets a minimum each year: 4 per cent of the balance under age 65 and 5 per cent from 65 to 74, rising with age. A lender will usually ask for the latest statement showing the balance and the payment you have chosen, and will want the income to be sustainable for the loan term rather than drawn down quickly.

  • A higher drawdown increases the income a lender sees, but it also runs the balance down faster, which matters if the balance is part of your exit strategy.
  • A lump sum taken from super can reduce a loan or provide a deposit; ask your financial adviser how it affects your pension and any Age Pension entitlement.

What should you check before you apply?

  • Know the loan amount and the term that finishes when you want it to.
  • Have a written exit strategy: what repays the loan if income falls.
  • Gather super statements, Centrelink income statements and tax returns.
  • List all debts and credit card limits; reduce unused limits before applying.
  • Keep some savings outside super as a buffer.
  • Speak to your financial adviser before using super, and to your family if a sale of the home is part of the plan.

What mistakes should you avoid?

  • Choosing a long term to lower repayments without a clear plan for repaying the loan.
  • Applying to several lenders at once, which leaves multiple enquiries on your credit file.
  • Assuming a reverse mortgage or the Home Equity Access Scheme is the only option before checking an ordinary loan.
  • Committing to a purchase before the lender has seen the income documents.

Can you buy before you sell when downsizing?

Many retirees buy their next home before selling the family home. Bridging finance is built for this, and it works well with the strong equity downsizers usually have: the lender looks at the end debt once the sale settles, rather than asking your income to carry two loans.

  • Plan the sale price conservatively, so the end debt still works if the home sells for less.
  • Check the downsizer contribution: from age 55 you may be able to put up to $300,000 of the sale proceeds into super, if the home was owned for 10 years or more. It sits outside the usual contribution caps but can affect the Age Pension, so get financial advice first.
  • Keep the timing tight, because bridging interest builds up until the sale settles. The bridging loans guide covers how lenders assess it.

Questions people ask

Is there an age limit for a home loan in Australia?

No. Lenders cannot refuse a loan simply because of age, but they must be satisfied you can repay it, so they look at retirement income and how the loan will be repaid if income falls.

Can I get a home loan on the Age Pension?

Sometimes: some lenders accept the Age Pension as part of income, usually alongside other income such as super or rent, and the loan must still be affordable on that income.

Can I get a 30-year loan at 60?

Possibly, if you show an exit strategy, such as downsizing or a super lump sum, that repays the loan when income drops. Many older borrowers choose a shorter term instead.

Does superannuation count as income for a home loan?

Yes, with many lenders: income streams from super, such as an account-based pension, count, and a super balance can also support an exit strategy.

Charles Touma works with borrowers at and near retirement to find lenders that accept their income and to set terms that finish when they should. A free 30-minute call covers what is possible for your situation. General information only, not credit, financial or legal advice. Source for the minimum pension payments: ATO, payments from super, checked 14 October 2026. Downsizer contribution rules: ATO, downsizer super contributions, checked 14 October 2026.

General information only, not credit, legal or tax advice. Your situation is assessed properly before any recommendation. Government scheme details change; figures are current at the time of writing.