If you own your own home and are 60 years of age or older, you qualify for a reverse mortgage in Alberta. After working hard all your life this is the perfect way to use the equity in your home for additional cash when needed. Those on a fixed income may find it difficult to afford needed repairs or unexpected medical bills. This type of loan can get you the money you need and you do not need to pay it back for as long as you or your spouse live in the home. Albertans should check with the Alberta Securities Commission about any company or program that tries to persuade them to sign up for a retirement loan strategy. This is to ensure that you deal with only legitimate companies.

Most citizens who meet the age requirement are eligible for a reverse mortgage in Alberta. This loan is available for traditional single family homes, condos, town houses and even mobile homes as long as you own the land where it sits. The lending guidelines may be a bit more conservative if you land is over an hour away from a city or town. However, many rural properties are financed every year, and the homeowner is perfectly happy with the payment. You can receive up to 40 percent of the value of your home. This limit ensures that there is still equity left in your house if you choose to sell. You do not need extra money to repay the loan because the amount never exceeds the fair market value of the property.

A reverse mortgage in Alberta is similar to those in the other provinces such as Ontario, British Columbia and Prince Edward Island. There may be slight differences in average home values or per capita income, but the basic strategy is the same. This loan allows you to collect about 40 percent of the home's appraised value as tax free income. It is not due until the last borrower (you or your spouse) passes away, sells the house or moves away. Even if your home is not paid off, you may still get the loan if the debt is not greater than 40 percent of the home's value. In fact, all debts against the title must be paid off with the proceeds.