A Home Equity Line of Credit, or HELOC, is a pre-approved amount of accessible money that you can draw from as you need.
It is fully open for prepayment without penalty and can be used for anything you can think of - home renovations, investments, a vacation, a child's education, or debt consolidation to name a few.
You can borrow as much as you need up to your available credit limit which is generally 65% of your home’s value.
If you combine your HELOC with a regular mortgage, the combined value of your HELOC and mortgage is capped at 80% of your home's value. As you pay off your mortgage you may be able to borrow more from your HELOC if needed.
There are various pros and cons to choosing a HELOC and the best thing to do is to let us assess your situation to determine if this product is right for you.
Call us to discuss!