top of page
  • e2efinancialsoluti

The Benefits of a Home Equity Line of Credit

The Benefits of a Home Equity Line of Credit

In our previous blog we shared details on how to obtain a home equity line of credit and how the E2E Financial team can help homeowners walk through this process. What we didn’t talk about is “WHY?” Perhaps you haven’t given a lot of thought to a home equity line of credit before and you’re unsure about why you might want to take advantage of this kind of financing over other alternatives. Our Mississauga based office hears this question often, “Why would I want a home equity line of credit and what are the benefits to a home equity line of credit?” Today – we have the answers for you.

What’s in it for me? What are the BENEFITS of Home Equity Line of Credit?

  • Consolidate Credit Card Debt: Owing money to several different credit card companies on different payment schedules and at different rates of interest is hard to track. Simplify your options by consolidating credit card debt into one manageable debt repayment schedule.

  • Gain Flexibility: Repayment terms on some debts are often fixed while with a home equity line of credit you are often able to gain some flexibility around repayment options on term length. As well, many offer flexible cash flow allowing you to borrow only as much (or as little) as you need at any given time.

  • Use favourable and variable interest rates to pay down higher interest debt: Why pay more than you have to? Use the better (lower) interest rates often offered on home equity lines of credit to finance other debt at an overall lower cost to you.

  • Borrow the money you need now to finance your future:

  • Education costs for the kids

  • Home renovations or repairs

  • Funding a small business dream – you name it, there are a myriad of reasons for seeking a home equity line of credit and they aren’t all necessarily related to “solving” other financial concerns.

  • A home equity line of credit is flexible enough to allow you to use it for something as simple as going on a:

    • Dream vacation or

    • Helping the kids to finance a wedding and even

    • For investment purposes or

    • Funding your retirement

  • HELOC – You might see this acronym a lot on the Internet and not surprisingly it simply stands for Home Equity Line Of Credit. HELOC’s are widely available through both traditional and non-traditional lending sources and are an ideal way to provide flexible financing when you need it most.

One of the primary benefits to a home equity line of credit is that it’s usually flexible. Within a specified range determined by the lender, you can borrow as much or as little as you need. It’s about putting the value you’ve already invested in your home through mortgage payments to work for you in a new way. If your home is mortgage free for example, depending on the real estate market in your area that might mean you have upwards of one million dollars of equity just “sitting” there waiting to be used. If this is your principal residence, why not put it to work for you now rather than waiting to downsize or selling your home in the future? E2E Financial in Mississauga can help.

At E2E Financial we specialize in both Mississauga based home equity line of credit options and can help folks living throughout the GTA, including Hamilton, Burlington, Ajax, Pickering and beyond. We’ll help source the best interest rates, repayment terms, the lowest fees (or no fee applications!) as well as source approved HELOC lenders and meet with our clients to explore and explain the difference between variable and fixed interest rate options. We work in your best interests and source lenders that meet your specific circumstances and criteria. New Canadian? Bruised Credit? Thriving Entrepreneur? No matter your situation, E2E Financial is in the business of Succeeding Together With You! Ask us how today. Our consultation is free!

Succeeding Together:

E2E Financial Provides Speedy Solutions for Personal, Business, Construction and Commercial Financing and Loans!

29 views0 comments


bottom of page