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Learn How to Qualify for a Home Equity Loan in Canada

Qualifying for a Home Equity Line of Credit has never been easier. Get Funding Fast With HomeEquityLoans.ca in Canada.

Apply Online With HomeEquityLoans.ca

Many homeowners in Canada aren't aware that as they've made mortgage payments throughout the years that they're building up equity in their homes. That equity doesn't have to sit in your home, doing nothing. You can use it to make a large purchase or stabilize your finances. 

At HomeEquityLoans.ca, we work closely with homeowners to help them qualify for a home equity loan as quickly as possible. Contact our office in Ontario to learn more about home equity loans and if you qualify. 

What Is a Home Equity Loan?

A home equity loan enables Canadian homeowners to borrow against the equity they've built up in their homes. The amount they can borrow is based upon the difference between the value of their home and how much they still owe on their mortgage.

A home equity loan can be approved using your principal residence, rental property, cottage, or commercial building. You receive your funds in a lump sum and how you use the proceeds are up to you.

A home equity loan provides homeowners the ability to leverage the money they need, when they need it and is one of the truest forms of asset-based lending. Credit and income do not play a major factor in the approval process.

Why Should I Take Out a Home Equity Loan?

Canadian homeowners typically take out a home equity loan to finance their debts or unexpected purchases. However, you can use the funds for a variety of things, including:

How Does a Home Equity Loan Work?

A home equity loan is sometimes called a second mortgage. Your home's equity is the collateral for your loan. How much you can borrow depends upon how much equity you've built up in your home.

Typically, a homeowner can borrow up to 85% of the total equity they have. If your not sure how much you may be able to borrow, you can use our handy "home equity calculator" to see what you may be eligible to borrow

Once the amount of equity you have in your home has been determined (in most instances this involves an appraisal on your property) it's our job to find you the best rate and terms you are eligible for and that's exactly what we do!

How Do I Build My Home's Equity?

Your home's equity can increase in a variety of ways.

Benefits of a Home Equity Loan

There are countless benefits of applying for a home equity loan in Ontario. Let's discuss some of the most popular.

Fixed Interest

Fixed Interest

The interest rate of a home equity loan is fixed for the lifetime of the loan. When you get approved for your loan, you'll know how much your payments will be every month. You don't have to worry about your payments increasing if your interest rate gets higher.
Lower Interest Rates

Lower Interest Rates

In addition to providing you with a stable interest rate, a home equity loan also offers a lower interest rate than other forms of borrowing, like credit cards or personal loans. That's because the loan is secured by your home. There are usually costs involved but most of them such as your lawyer's fees will be included in the cost of financing. Overall it's a more cost-effective solution to getting a lump sum of money.
Longer Repayment Terms

Longer Repayment Terms

Because you are using your home as collateral, most lenders are willing to offer extended amortizations and many offer interest only payments to help keep your payments low.
Easy Approval Process

Easy Approval Process

Home equity loans are approved using common-sense underwriting. Approvals are based on the equity in your home, not credit or income.

Frequently Asked Questions

You can apply for a home equity loan on our website. You can also reach out to one of our financial advisors by filling out our online contact form.

If you need a large sum of cash then a home equity loan is ideal for you. While credit scores are taken into account, HomeEquityLoans.ca doesn't have the same stringent lending requirements as other lending institutions. We're focused on helping our clients get the funding they need.

It's simple! Either apply online or contact one of our home equity loans advisors for a free consultation. We do all the heavy lifting while you sit back and let us help you convert your home's equity into cash.

As long as you own a property with equity, you are eligible. In fact, the more equity you have, the more likely you are to get approved.

Not every home equity loan lender will require a full appraisal. However, most lenders want this to ensure that your home's value is properly determined by a professional.

Your home's value is a key component in determining if you qualify for a home equity loan. If a full appraisal isn't required, your lender might use some of the following tactics to get your home's value:

  • Reviewing county assessments
  • Implementing automated value models

If you've had an appraisal done on your house in recent months, that information might be used in approving your application.

You can still qualify for a home equity loan even if you have bad credit. That's because home equity lenders, like HomeEquityLoans.ca, focus on how much equity you've built up in your home instead of your credit score. 

Additionally, a home equity loan is a secured debt. The loan is guaranteed with your home. This gives lenders the confidence that you'll have the resources to make payments. 

Traditional lenders have stricter requirements than we do. They typically want you to have a credit score that's higher than 620, making it difficult for Canadian homeowners to qualify for a home equity loan. 

Our flexible requirements ensure that homeowners don't get turned away for a home equity loan just because of a poor credit score. We offer a variety of solutions to fit almost every financial situation. 

Either Apply Online or call us and we will get working on your approval immediately!

You can also use your home equity to apply for a Home Equity Line of Credit. With a HELOC, you don't get one lump sum of money as you do with a home equity loan. Instead, you borrow how much funding you need at that time with the option to take more funds later on.

Think of a HELOC like a credit card. You only have to pay interest on the money that you use. Your payments will also vary depending upon how much money you've drawn from the line.

A home equity loan is a better option than a HELOC when you know exactly how much money you'll need for your expenses. It's also a good idea if you want to consolidate your debt without the risk of creating more with an open line of credit.

Another reason why you might want a home equity loan is if you lived on a fixed income and want the same monthly payment each month without any fluctuation.

How Our Approval Process Works

Connect With Our Financial Advisors
Easily apply for a home equity loan on our website. We're available to answer any of your questions about the process.
We Review Your Application
You'll work closely with our home equity loan team throughout the approval process.
Get Your Funding Fast
Once you've been approved, you'll get your funding in just a matter of days.
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Read the Success Stories of Our Previous Clients

Want to learn more about how easy our home equity loan process is? Read our client reviews to see the positive things they have to say about working with HomeEquityLoans.ca.

Why Work With HomeEquityLoans.ca in Ontario?

Our team of loan officers understands that traditional lending options might not be the best fit for Canadian homeowners. Between the strict lending requirements and the long approval process, homeowners can encounter more stress and heartache than is necessary. 

We're committed to helping Canadian homeowners tap into the equity in their homes to build a better future. Whether you need the funding to get out of debt or to make improvements to your home, we're here to help.

Our approval process is quick and painless. We strive to get your home equity loan approved within 24 hours. Our team is focused on delivering exceptional customer service while treating our clients with respect and dignity. 

Start Your Home Equity Loan Application Today

To see if you qualify for a home equity loan in Ontario, Canada, fill out our online application or connect with one of our financial advisors. 
Apply Now