Financial planner Kevin Bailey, managing director of The Money Managers, says the baby boomers lived through an era of high inflation when property values and wages grew at a fast pace - doubling roughly every seven years. Reverse mortgagesSome people come up with the cash by taking out a reverse mortgage - a loan against the equity in their home that doesn’t have to be repaid until the property is sold, perhaps upon their death. Family equityA twist on the guarantor theme are products such as St George Bank’s Family Pledge, which involves a more limited guarantee, or Commonwealth Bank’s Family Equity, which allows parents to use the equity in their home to help their children secure a mortgage. Liz Phelps, St George portfolio manager, home loan products, says the Family Pledge, introduced in 2004, now accounts for 2 to 3 per cent of the bank’s monthly home loan sales. The bank takes a mortgage over the parent’s property but only for a specified amount - say the $60,000 needed to get the loan-to-value ratio below 80 per cent so mortgage insurance isn’t required, or to avoid the higher interest rate on a no-deposit home loan. read more