Retro Thrive is an innovative product designed to cater to mature-aged borrowers 50 and over looking for more flexible repayment options. Thrive enables customers to choose an interest-only (IO) repayment schedule over a 40-year term without repeatedly applying for extensions, ultimately providing more options to hold these assets longer term into retirement.
Thrive allows borrowers only to pay the interest charged on the loan amount, and the principal remains unchanged until it’s discharged upon selling the property or at the end of the loan term.*
Paying interest only payments for the term of the loan may assist borrowers to keep their investment properties cash-flow positive** for longer and avoid being forced into paying principal and interest repayments at a time when freeing up cash flow is a priority.Â
Retro Thrive allows borrowers to borrow up to 65% of the value of their property or $2m (whichever is lower), and they only need to pay back the interest each month. This may assist borrowers to free up some of their cash flow to spend on the things they’ve worked hard for over the years such as holidays, or home renovations.Â
To see if a Retro Thrive home loan is right for you, read the FAQs below or speak to your broker to see if you’re eligible.
*Please note this information is general. The terms and conditions of particular loans differ. Information is correct as at 1 September 2023 and is subject to change. AFG Home Loans lending criteria, terms, conditions, fees, and charges apply. Full details of terms & conditions available on application.
** Please note, we do not provide tax, legal or accounting advice. This content is for general informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. We encourage you to consult your own tax, legal and accounting advisers before engaging in any transaction.
See the following FAQs to find out if Retro Thrive is right for you.
Retro Thrive is an interest-only (IO) mortgage tailored to mature-aged borrowers 50 and over. Retro Thrive allows borrowers to only pay the interest charged on the loan amount, and the principal remains unchanged until it’s discharged upon selling the property or at the end of the loan term. Typically, the loan is settled by selling the property and using the proceeds to repay the mortgage. Retro Thrive allows for borrowers to borrow up to a maximum of 65% of the value of your property or $2m (whichever is lower).
Loan terms are typically restricted for borrowers that are 50 and over and Interest Only loans are limited to a 5 year term, with an option for a further 5 years, and servicing is calculated on repayment of principal during the loan term. Retro Thrive is set as Interest Only for the full loan term, up to 40 years.
The interest payments on the loan may affect your future income levels required for retirement funding. It is recommended you seek independent financial and legal advice regarding your retirement plans, ensuring that you can still manage the mortgage comfortably, even if your circumstances change. We also recommend you discuss this mortgage with your family.
Eligibility for Retro Thrive depends on the following criteria:Â
For more information on whether you’re eligible for a Retro Thrive home loan, read the TMD or speak to an AFG broker.
We offer our loans exclusively through AFG brokers via our broker network, making sure you receive a loan that meets your individual needs.
AFG Home Loans Pty Ltd is part of the ASX listed Australian Finance Group Ltd (AFG), one of Australia’s leading mortgage broking firms for almost a quarter of a century.
The information provided is a short summary and is not everything you need to know to select a product and features that are appropriate for your needs and requirements. All information is subject to change without notice. Terms and conditions and lending criteria may apply. Fees and charges may be varied or introduced in the future.
AFG Home Loans Pty Ltd | ACN 153 255 559 | Australian Credit Licence 411913
