Published: November 17th, 2025 • Last Updated: November 17th, 2025
Author: Ross Taylor on AskRoss.ca

A Lifetime Fixed-Rate Reverse Mortgage with No Moving Penalties and Compassionate Terms for Retirees

Retirement should be about peace of mind, not stressing about rising interest rates or whether you’ll need to sell your home to cover unexpected expenses. That’s why I’m intrigued by a new reverse mortgage option shaking things up in Canada. The Bloom Safe Rate Reverse Mortgage.

This isn’t just another reverse mortgage. It’s a lifetime fixed-rate product, meaning the interest rate never goes up. There are no penalties if you move, and the repayment terms are much more reasonable than we’re used to seeing in this space.

For many seniors, it could be the right alternative to other reverse mortgage offerings, especially if you want predictability and flexibility without sacrificing homeownership.

Let’s break it down.

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• What is the Bloom Safe Rate Reverse Mortgage, and how does it work?
• Can I move homes and keep my Bloom reverse mortgage?
• Why does a lifetime fixed rate matter so much?
• How do Bloom’s repayment rules support families?
• How much can I borrow with the Bloom Safe Rate Reverse Mortgage?
• How does Bloom compare to other reverse mortgage providers?
• Who qualifies for Bloom’s reverse mortgage?
• Does Bloom protect my estate if home prices fall?
• What’s the catch?
• Advice from Ross Taylor Mortgages: Reverse Mortgages In Canada
• List of all FAQs: Bloom Safe Rate Reverse Mortgage

What is the Bloom Safe Rate Reverse Mortgage, and how does it work?

Bloom’s Safe Rate product is the first of its kind in Canada. It gives homeowners aged 55+ access to up to 55% of their home equity as tax-free cash. Just like CHIP or Equitable. But with a few major differences that make it more senior-friendly.

Unlike most reverse mortgages, where the interest rate is only fixed for a 5-year term, Bloom’s rate is locked in for life. That means no nasty surprises when it comes time to renew, because you never have to.

Plus, Bloom takes a more compassionate approach to repayment. If you move, downsize, or need long-term care, you can repay the loan without penalties.

That’s a huge win for anyone whose retirement plans might shift unexpectedly.

Key differences from other reverse mortgages

Here’s what sets the Bloom Safe Rate apart:

• Lifetime fixed interest rate
• No penalties for moving to a new home
• Compassionate repayment terms for downsizing, death, or long-term care
• Lower income requirements and broader eligibility
• Available in Ontario, B.C., and Alberta

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Can I move homes and keep my Bloom reverse mortgage?

Yes. And this is one of the reasons I think Bloom is such a game-changer.

Bloom offers a Right to Move clause, meaning you can transfer your reverse mortgage to a new principal residence without losing your locked-in interest rate. As long as the new property meets Bloom’s criteria, you won’t be charged any prepayment penalties just for changing addresses.

This is a massive improvement over other reverse mortgage providers, which often charge thousands of dollars in early exit fees when you sell your home or move.

What if your new home is worth less?

If the home you’re moving into is worth less than your current one, you may need to repay part of the loan to maintain the proper loan-to-value ratio. But the key point is, you’re not penalized just for moving.

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Why does a lifetime fixed rate matter so much?

One of the biggest concerns I hear from clients considering reverse mortgages is, “What happens when my rate goes up?”

With traditional reverse mortgages, the rate is only fixed for 5 years. And you better believe it’s going to be higher at renewal time if rates keep climbing.

Bloom gets rid of that anxiety. Their rate is fixed for life—currently around 6.69%—which means:

• No renewal shocks
• No rising payments
• Easier long-term planning

For seniors living on fixed incomes, that kind of certainty is invaluable.

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How do Bloom’s repayment rules support families?

Bloom’s approach to repayment is refreshingly human. They waive all prepayment fees if:

• You move into long-term care
• You downsize or move to another principal residence
• You (or the first borrower) pass away, and repayment happens within three years

In other words, Bloom understands that life happens and doesn’t punish you for it.

I’ve seen far too many families blindsided by prepayment penalties when a parent passes away or has to sell the house for care. Bloom’s compassionate repayment terms ease that burden.

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How much can I borrow with the Bloom Safe Rate Reverse Mortgage?

Just like CHIP or Equitable Bank, you can access up to 55% of your home’s appraised value.

The actual amount you qualify for depends on:

• Your age (older borrowers qualify for more)
• The location of your property
• Your home’s condition and value

If you still have a mortgage, the Bloom funds can be used to pay that off first.

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How does Bloom compare to other reverse mortgage providers?

Here’s how Bloom stacks up as of late 2025:

Provider	Rate Range	Fixed Term	What Makes It Different
Bloom Financial (Safe Rate)	6.69%	Lifetime fixed	Rate stays the same for life; you can move homes without a penalty; easier for planning long-term
HomeEquity Bank (CHIP)	6.69%–7.61%	5 years (renews)	Well known, lets you take out cash or a credit line; rate changes every 5 years; you could pay more if rates go up
Equitable Bank (Flex)	6.59%	5 years (renews)	Flexible ways to get your money; mostly for city homes; rate changes every 5 years
Home Trust Company	~6.9%+	5 years (renews)	Only available in big cities; you may not be able to borrow as much

Bloom also charges about $2,300 in one-time fees, deducted from your proceeds. These are in line with other reverse mortgage products in Canada.

So is Bloom more expensive?

Slightly, upfront. But only if you assume rates stay flat forever. Over 10+ years, Bloom’s locked-in rate may actually save you money, especially if interest rates continue to climb.

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Who qualifies for Bloom’s reverse mortgage?

You may be eligible for Bloom if:

• You’re 55 or older
• You own your primary residence in Ontario, Alberta, or B.C.
• Your home is valued at $250,000 or more
• You have no major mortgage left, or you can use Bloom to pay it off

Credit score and income are not major factors. That’s key if you’re on a modest pension or have non-traditional income streams.

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Does Bloom protect my estate if home prices fall?

Yes. Like all federally regulated reverse mortgage providers in Canada, Bloom offers a no-negative-equity guarantee. This means:

Your estate will never owe more than your home is worth at the time it’s sold.

Even if home values drop, your heirs won’t be on the hook for any shortfall. That kind of protection brings peace of mind to both borrowers and their families.

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What’s the catch?

Honestly? The only major downside right now is limited availability.

Bloom is currently operating only in Ontario, Alberta, and British Columbia. So if you’re in Quebec or the Maritimes, you’ll have to wait, or stick with CHIP for the time being.

That said, Bloom is expanding. And I suspect this product will gain traction quickly, pushing other providers to improve their offerings.

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Advice from Ross Taylor Mortgages: Reverse Mortgages In Canada

If you or a loved one is considering a reverse mortgage, Bloom’s Safe Rate product is well worth a look.

Unpredictable rates are one of the biggest pain points in the reverse mortgage world.

With Bloom’s no-penalty moving clause and compassionate repayment terms, you’ve got a product that’s designed with real people in mind.

It won’t be right for everyone. If you’re planning to pay off your reverse mortgage quickly, you might not benefit from the lifetime fixed rate.

But for those seeking long-term financial peace and the freedom to stay in their home, or move if needed without penalty, Bloom offers something truly new and valuable.

If you want to explore whether Bloom’s Safe Rate Reverse Mortgage makes sense for your retirement plans, feel free to reach out. We’ll walk you through your options and help you determine what’s right for you or your family.

Because staying in your home should never mean staying stuck financially.

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List of all FAQs: Bloom Safe Rate Reverse Mortgage

What is the Bloom Safe Rate Reverse Mortgage, and how does it work?

• It’s a reverse mortgage for Canadians 55+ offering tax-free cash and a lifetime fixed rate, with more flexible and compassionate repayment terms than CHIP or Equitable.

Can I move homes and keep my Bloom reverse mortgage?

• Yes. Bloom allows you to transfer your mortgage to a new home without penalty, as long as the new property meets eligibility criteria.

Why does a lifetime fixed rate matter so much?

• A fixed-for-life interest rate eliminates renewal shocks and rising costs, offering predictable long-term planning for retirees.

How do Bloom’s repayment rules support families?

• Bloom waives prepayment penalties if you move into care, downsize, or pass away (within 3 years), easing the burden on families.

How much can I borrow with the Bloom Safe Rate Reverse Mortgage?

• Up to 55% of your home’s appraised value, depending on your age, location, and property condition.

What fees and interest rates should I expect?

• The rate is 6.69% fixed for life with approximately $2,300 in one-time fees. While slightly higher upfront, it can save money over time.

Who qualifies for Bloom’s reverse mortgage?

• Canadians 55+ with a home in Ontario, Alberta, or B.C. worth $250,000+ and either mortgage-free or able to pay off a small balance.

Does Bloom protect my estate if home prices fall?

• Yes. Bloom includes a no-negative-equity guarantee, ensuring your estate won’t owe more than the home’s value upon sale.

What are the drawbacks of the Bloom Safe Rate Reverse Mortgage?

• Limited availability. Bloom is currently only offered in Ontario, Alberta, and B.C., though expansion is expected.

Is Bloom better than CHIP or Equitable?

• For long-term stability and compassionate terms, Bloom’s lifetime fixed rate and no-penalty moving clause offer a strong alternative to CHIP or Equitable’s 5-year products.

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