CHIP Reverse Mortgage

What CHIP Reverse Mortgage does

CHIP Reverse Mortgage is the consumer brand of HomeEquity Bank, a federally regulated Schedule 1 Canadian bank that originates and services reverse mortgages for Canadian homeowners aged 55 and older. Founded in 1986 in Vancouver as the Canadian Home Income Plan, the company operates across all 10 Canadian provinces (excluding the territories) and has helped tens of thousands of retirees access home equity without selling or moving. Since 2022 it has been owned by the Ontario Teachers' Pension Plan, following a prior 2012–2022 period under Birch Hill Equity Partners and an earlier 2002–2009 history as a TSX-listed income trust (HEQ.UN).

The core product lets borrowers convert up to 55% of their home's appraised value into tax-free cash with no monthly mortgage payments; the loan is non-recourse under a No Negative Equity Guarantee and is repaid when the borrower moves, sells, or passes away. The portfolio comprises four variants — flagship CHIP Reverse Mortgage, Income Advantage (scheduled monthly/quarterly advances), CHIP Max (higher initial equity access), and CHIP Open (short-term bridge financing with no prepayment penalties) — complemented by digital tools including a Reverse Mortgage Calculator, a Home Equity Calculator, and a Financial Wellbeing Scale. Distribution is fully direct-to-consumer and remote: a national toll-free line staffed by reverse mortgage specialists, the chip.ca digital application and e-signature flow, plus referral partnerships with CARP and the Royal Canadian Legion.

Revenue is generated primarily through interest accruing on reverse mortgage balances (variable rate HomeEquity Bank Prime + 2.66%, or 1/3/5-year fixed terms at 6.64%–6.99% as of October 2025), supplemented by a $1,795 closing fee per origination and pass-through appraisal and legal fees. Customer acquisition relies on a multi-channel marketing mix spanning TV, online video, digital, social, out-of-home, and radio (including a March 2026 integrated brand campaign via Lifelong Crush), content marketing through a 280+ article resource center, celebrity endorsement by figure skater Kurt Browning, and earned media via Chief Financial Commentator Pattie Lovett-Reid. The bank's balance sheet is funded in part through HomeEquity Bank Note issuances, with approximately $130M–$162M raised annually between 2024 and 2026.

Name

CHIP Reverse Mortgage

Legal name

HomeEquity Bank

Website

https://chip.ca

Company type

Private

Founded year

1986

Operating status

Operating

Headcount range

101–250 employees

Short description

CHIP Reverse Mortgage (HomeEquity Bank) is a federally regulated Schedule 1 Canadian bank that originates and services reverse mortgages for Canadian homeowners aged 55+ across all ten provinces, offering tax-free access to up to 55% of home equity with no monthly payments. It has been owned by Ontario Teachers' Pension Plan since 2022.

Ownership category

akta.pro rank

Product category

Reverse Mortgage Lending

NAICS

Real Estate Credit (522292), Nondepository Credit Intermediation (5222)

SIC

Mortgage Bankers & Loan Correspondents (6162)

akta.pro primary industry

Reverse Mortgage Origination (HECM & Proprietary) (FSALAIAA)

akta.pro secondary industries

Reverse Mortgage Servicing & Subservicing (FSALAIAC), Reverse Mortgage Valuation, Title & Closing Services (Appraisal/Settlement) (FSALAIAH)

Keywords

• Reverse mortgage lending
• Home equity loans
• Retirement financing
• Senior financial services
• Consumer mortgage products

Headquarters

HQ city

Toronto

HQ country

Canada

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Technology or R&D, Others

Revenue model

1. Reverse Mortgage Interest: CHIP Reverse Mortgage generates revenue primarily through interest charged on loan balances. Interest rates are available in fixed terms (1-year, 3-year, 5-year) or variable terms tied to the HomeEquity Bank prime rate. As a non-recourse loan requiring no monthly payments, interest accrues over the life of the loan and is repaid when the borrower moves, sells, or passes away.
2. Closing and Administrative Fees: HomeEquity Bank charges a closing fee of $1,795 for most clients (covering legal, administrative costs, discharging prior mortgages, and registration of the CHIP Reverse Mortgage). This fee is typically added to the mortgage balance rather than paid out of pocket.
3. Appraisal and Legal Fees: Third-party fees for property appraisal and independent legal advice are collected as part of the reverse mortgage closing process.

Pricing tiers

Go-to-market motion2 records

Distribution channels5 records

Marketing channels11 records

Core offering

CHIP Reverse Mortgage, operated by HomeEquity Bank (a federally regulated Schedule 1 Canadian Bank), provides Canadian homeowners aged 55+ with reverse mortgage products that allow them to access up to 55% of their home's appraised value as tax-free cash without monthly mortgage payments and without having to sell or move. The product line includes the flagship CHIP Reverse Mortgage plus variants such as Income Advantage (scheduled advances), CHIP Max (higher initial equity access), and CHIP Open (short-term with no prepayment penalties).

Product overview

HomeEquity Bank offers the CHIP Reverse Mortgage product line, Canada's leading reverse mortgage portfolio for homeowners aged 55+. The core CHIP Reverse Mortgage product enables access to up to 55% of home value as tax-free cash with no monthly payments. The portfolio includes three specialized variants: Income Advantage (monthly/quarterly scheduled advances), CHIP Max (higher initial equity access), and CHIP Open (short-term flexible solution). The company also provides complementary digital tools including a Reverse Mortgage Calculator, Home Equity Calculator, Financial Wellbeing Scale, and Product Selector Tool. All products are delivered through a federally regulated Schedule 1 Canadian Bank.

Differentiator

Problem solved

Functional benefit

Brands

• Income Advantage: A reverse mortgage solution that provides monthly or quarterly advances of tax-free cash in addition to a single lump-sum payment for those who want to supplement their regular retirement income.
• CHIP Max
• CHIP Open

Products and services

• CHIP Reverse Mortgage The flagship reverse mortgage product allowing Canadian homeowners aged 55+ to access up to 55% of their home's appraised value in tax-free cash without monthly mortgage payments. The loan is repaid when the homeowner moves, sells, or passes away.
• Income Advantage A reverse mortgage solution providing monthly or quarterly advances of tax-free cash in addition to a single lump-sum payment. Designed for retirees who want to supplement their regular retirement income with scheduled deposits.
• CHIP Max A reverse mortgage designed to provide clients with initial access to a higher percentage of their home equity compared to the standard CHIP Reverse Mortgage. Requires minimum appraised home value of $300,000.
• CHIP Open A short-term reverse mortgage solution with no prepayment penalties for full payments. Allows Canadian homeowners 55+ to convert to the longer-term CHIP Reverse Mortgage if their financial situation changes.

Quantifiable outcome

• On average, CHIP customers retain over 50% of their home's value after loan repayment
• +4 more outcomes

Named customers2 records

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature5 records

Partnerships

Six partnerships are on record, tiered core and minor.

• Lifelong Crush (Agency)coreGTM or Marketing Partner · 9 March 2026HomeEquity Bank partnered with creative agency Lifelong Crush to launch a new integrated brand campaign in March 2026. The campaign spans television, online video, social media, digital, out-of-home, and radio, celebrating Canadians 55+ and positioning CHIP Reverse Mortgage as a strategic retirement financial tool.
• CARP (Canadian Association for Retired Persons)coreGTM or Marketing PartnerCARP is a 'Proud Supporter and Partner' of HomeEquity Bank. CHIP Reverse Mortgage is CARP-recommended. CARP members receive information about special offerings and benefits. The partnership leverages CARP's senior member network for referral marketing and brand credibility.
• The Royal Canadian LegioncoreGTM or Marketing PartnerThe Royal Canadian Legion is a 'Proud Supporter and Partner' of HomeEquity Bank. CHIP Reverse Mortgage is Legion-endorsed. Special offerings and benefits are available to Legion members. The partnership provides referral access to the Legion's veteran and senior community.
• MedicalertminorGTM or Marketing PartnerMedicalert is listed as a partner on chip.ca's footer. The partnership appears to be co-marketing to shared senior Canadian demographics.
• Canadian Bankers AssociationminorOthersHomeEquity Bank is a member of the Canadian Bankers Association (CBA). The CBA is the voice of Canada's banks and serves as a regulatory and advocacy association for its member institutions.
• RatesdotcaminorChannel Partner/ Reseller/ DistributorCHIP Reverse Mortgage redirects ineligible prospects (under age 55) to Ratesdotca to receive quotes for alternative financial solutions. This affiliate/referral arrangement directs non-qualifying leads to an alternative mortgage marketplace.

Scale indicators8 records

Recent moves14 records

Expansion highlights6 records

Direct peers

• Reverse Mortgage Funding (RMF): US reverse mortgage originator and servicer offering HECM and proprietary products, including the EquityIQ proprietary reverse mortgage. Comparable to CHIP in product innovation (proprietary reverse mortgage alongside HECM-equivalent), and direct-to-consumer senior marketing approach.
• Longbridge Financial: US-based reverse mortgage lender offering both HECM and proprietary reverse mortgage products with no-recourse structures to homeowners 55+. Comparable to CHIP in product variety (multiple reverse mortgage variants), target age threshold, and emphasis on home equity retention for borrowers and heirs.
• American Advisors Group (AAG): One of the largest US reverse mortgage lenders, exclusively focused on HECM and proprietary reverse mortgage products for homeowners 62+. Directly comparable to CHIP in product category, target demographic (seniors accessing home equity), and non-recourse lending model, though operating in the US regulatory framework rather than Canada's Schedule 1 Bank charter.
• One Reverse Mortgage (Rocket Mortgage): Reverse mortgage brand owned by Rocket Companies, offering HECM and proprietary reverse mortgage products to US seniors. Comparable to CHIP in offering a digital-first reverse mortgage product within a larger banking ecosystem, and competing on brand recognition and digital onboarding.
• Finance of America Reverse (FAR): Subsidiary of Finance of America, one of the largest US reverse mortgage originators and a major HMBS issuer. Comparable to CHIP's origination-plus-servicing model and securitization of reverse mortgage loans into the secondary market; a key US peer in the same product category.
• Mutual of Omaha Mortgage: US reverse mortgage lender offering HECM and proprietary reverse mortgage products as part of a broader insurance/financial services parent. Comparable to CHIP in reverse mortgage product depth, conservative lending approach, and the broader financial services parent (similar to HomeEquity Bank's CDIC-insured bank charter).
• LIBERTY Reverse Mortgage: US-based reverse mortgage lender (a subsidiary of Guild Mortgage) focused on HECM and proprietary products for seniors. Comparable to CHIP in single-category focus on reverse mortgages, multi-product portfolio, and direct-to-consumer distribution model.

Emerging players

• Hometap: US home equity investment company offering an alternative to reverse mortgages by providing cash in exchange for a share of future home appreciation. Comparable to CHIP as a non-debt equity-release product for senior homeowners, representing a competitive alternative rather than a pure reverse mortgage peer.
• Plenti (formerly RateSetter Australia) / Heartland Reverse Mortgages: Heartland Group offers reverse mortgage products to senior homeowners in Australia and New Zealand. Comparable to CHIP as a non-US reverse mortgage lender operating in a similar aging-in-place demographic context, providing a regional template for equity-release products outside the US HECM framework.

Broad incumbents

• Equitable Bank: Canadian Schedule 1 Bank offering a broad range of deposit and lending products including reverse mortgages through EQ Bank. Comparable to HomeEquity Bank as one of the few Canadian Schedule 1 banks offering reverse mortgage products domestically, though as part of a much broader portfolio rather than a reverse-mortgage-only specialist.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks5 records

Key highlights6 records

Customer concentration

• Xtwitter.com/HomeEquityBank
• YouTubeyoutube.com/c/homeequitybank
• Facebookfacebook.com/HomeEquityBank
• LinkedInlinkedin.com/company/canadian-home-income-plan-corp.
• Instagraminstagram.com/homeequitybank

Compliance4 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Funding overview

Funding rounds4 records

Investors1 record

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about CHIP Reverse Mortgage