How much can I get for an Equity Loan?
Calculations based on a home valued at 500K with Mortgage Balance of $350,000. (You can also check our mortgage calculator)
(Value of home x 80%) - Mortgage Balance = Maximum Amount to Borrow
($500,000 x 80%) - $350,000 = $50,000
For example, you wish to renovate and need $75,000, most likely (if you qualify) the most you could get would be $50K.
This is based on a basic calculation and is only meant as a guide, a Mortgage Broker or Agent can get the numbers of a loan amount you would qualify for.
How do I know the amount of interest I'd save if I refinance my mortgage?
If you qualify to refinance your mortgage, you may want to check out other rates to see how much you will save on interest.
What is a Reverse Mortgage?
Not all lenders offer a reverse mortgage; a reverse mortgage is for homeowners over 55 years of age (if applicable, spouse must be over 55) and enables them to receive cash without having to sell their home. The drawbacks are; higher rates, equity decreases over the years, when you pass away, your estate is required to pay the loan with interest and within a specified amount of time, and associated costs for various fees are typically higher than normal.
Whether this is a 1st time home buyer mortgage or you are renewing or refinancing your mortgage, find best mortgage rates Canada at Comparemyrates.ca