Refinancing and Home
Equity Loans

By paying down your mortgage over time, you’re building equity in your home. Accruing value on your property allows you to borrow against that built equity when you need to fund other large expenses, like starting a business, buying a cottage, debt consolidation, or investing in home renovations and repairs.

To take advantage of that built-up home equity, you may be considering mortgage refinancing or a home equity loan to fund these new expenses. Our mortgage brokers make it easy for you to get the most favourable terms, the best mortgage refinancing rates in Canada, and low-interest home equity loans.

Our expansive network of lenders allows us to shop for the lowest mortgage refinancing rates in the country, many of which are exclusive to Edgehill Mortgage Group clients. If you’re considering a home equity loan, Edgehill has access to various products and quick pre-approvals based on the value of your home and equity position. Take advantage of the equity you’ve worked hard to build in your home and fund your life’s expenses through mortgage refinancing or a home equity loan. Contact us today to discuss your refinancing and home equity loan options.

What are the benefits of a home equity loan?

Lump sums

If you have substantial equity in your home, you can qualify for significant lump sums of money to borrow. A home equity loan may indeed be the only option if you need to fund a monumental purchase, like starting a business or pursuing higher education.

Tax benefits

Some borrowers are able to deduct a portion of the interest they’ve paid on a home equity loan, like if the funds are put towards considerable improvements to the home or property. A tax expert can examine the details before you claim a deduction.

What is the difference between a home equity loan and a home equity line of credit?

If you’ve decided to take out a home equity loan, you’ll have two options: a lump sum or a home equity line of credit (HELOC).

Home Equity Loan - Single Advance

A large sum of cash up front, paid back over time via monthly installments. This is an amortizing loan, meaning that each payment will reduce the loan balance, and covers some of the interest costs. Home equity loan interest rates can remain fixed throughout the span of the loan, creating consistency in your finances

Home Equity Line of Credit

This involves receiving approval for an absolute maximum amount from which you can simply borrow what you need. So, if the need arises, you can borrow multiple times up to the maximum amount you’re approved for. Small payments are acceptable early in the agreement, though you’ll eventually need to make full amortizing payments to get rid of the loan. This is the most flexible option, giving you complete control over the loan balance and interest costs.

Another alternative available through Edgehill that we recommend to some clients is an equity loan Visa (ELV). An equity loan Visa is another solution that uses your home equity to secure a line of credit in the form of a Visa card. The card more or less acts like a mortgage on your home and is leveraged to take equity out of your home to use as you see fit. You can consolidate debts, or even use that equity for home improvement to reinvest in the value of your home. Best of all, since ELVs are considered real credit cards, you’ll be afforded the same benefits as the ability to build your credit score, or cash-back rewards programs and the like.

Thinking about remortgaging your home? Contact us today to discuss whether remortgaging at this time is right for you.
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