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Home Equity Loans in Toronto, Ontario

  • chBorrow up to $1 Million using the equity in your home
  • chRates starting from 4%
  • chGet offers from Top Home Equity Lenders in Canada
up Last updated

June 09, 2025

up Written by:

Amy Orr

up Reviewed by:

Jenna West

Compare Lenders

AMOUNT
$500 - $150,000
INTEREST RATE
9.99% - 34.99%
TERMS
9 - 240 months
AMOUNT
$50K - $10M
INTEREST RATE
From 4.09%
TERMS
6 - 60 Months
AMOUNT
$15K - $10M
INTEREST RATE
6% - 16%
TERMS
1 - 5 Years
AMOUNT
$20K - $100M
INTEREST RATE
Varies
TERMS
12 - 60 Months
AMOUNT
$20K - $10M
INTEREST RATE
Varies
TERMS
6 Months - 5 Years
AMOUNT
$10K - $10M
INTEREST RATE
Varies (Home Equity Loans)
TERMS
12 Months
AMOUNT
$50K - $100M
INTEREST RATE
From 4.09%
TERMS
6 Months - 10 Years
AMOUNT
$50K - $10M
INTEREST RATE
Varies
TERMS
1 - 10 Years
AMOUNT
$50K - $10M
INTEREST RATE
From 5.44%
TERMS
5 Years

Frequently Asked Questions About Home Equity Loans in Toronto 


What paperwork do I need to apply for a home equity loan in Toronto?

To apply for a home equity loan in Toronto, you’ll need:

  • I.D.
  • Proof of address
  • Your bank account details
  • Your property’s full details (including information on any existing mortgages on it, and your ownership documents)
  • Proof of income
  • Other financial documents that illustrate all of your assets and debts

With this information a lender can then assess your financial position and whether they are comfortable lending to you.

How much can I borrow with a home equity loan in Toronto?

The amount you can borrow with a home equity loan depends on the value of your home and how much in other loans you have secured against it. You can borrow up to a total of 85% of your home’s value. In Toronto the average property is worth $1.16 million, so this means you can borrow up to $986,000 (85%), minus the balance of any existing debt (such as your mortgage – which in Toronto averages $575,000). Some lenders also have upper limits on how much you can borrow.

What are the alternatives to a home equity loan?

If you are one of the 2 million homeowners in Toronto, you should know that a home equity loan is not the only route you have to access cash. You might also consider a home equity line of credit (HELOC), a second mortgage, or a mortgage refinancing. Each option has its own pros and cons, so be sure you understand what will work best for your circumstances.

What credit score do I need for a home equity loan in Toronto?

Each lender has different eligibility criteria, so in theory anyone – with any credit score – can access financing based on their Toronto property’s equity. However, most traditional lenders (like banks and credit unions) do have a minimum credit score threshold of 650. Toronto’s average credit score is 694, so most Toronto borrowers meet this criteria. And for those that don’t, there are always alternative lenders to consider.

What’s the best interest rate I can get on a home equity loan in Toronto?

Interest rates on Toronto home equity loans can be as low as 2%, but the average is just under 6%. The exact rate you pay will depend on the lender you go to, your financial circumstances, and the property in question. It’s important to also take into account loan fees when calculating your loan’s eventual cost.

Where can I get a home equity loan in Toronto?

As Canada’s biggest city, Toronto offers plenty of options for its homeowners seeking a home equity loan. The list in the table above is a good place to start; there are also traditional lenders, like banks and credit unions, and a slew of online lenders, as well as some alternative lenders for those looking for more bespoke loan terms. It’s important to make sure that wherever you go, your chosen lender is reputable. Avoid anywhere that has high fees, isn’t transparent, or has bad customer reviews. With so much choice available, Torontonians should have no problem finding a lender that works for them.

av
writtenWritten by:

Amy Orr

Amy Orr is a professional writer and editor with over 10 years of experience in the Canadian, U.S. and U.K. financial markets. She has written for numerous publications on topics as diverse as economic literacy, corporate finance, and technical analysis of numerical data. Prior to transitioning to full-time writing, she worked in the hedge fund sector. Her academic background is astrophysics, and she has a Masters in Finance from the University of Edinburgh Business School.

av
writtenReviewed by:

Jenna West

Jenna West is Smarter Loans' in-house financial writer and content director. She has been covering the Canadian FinTech and finance industry since 2017, including financial trends analysis, industry surveys, regulatory updates and changes in Canadian consumer behaviour when it comes to finance.

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04:46 26 Feb 25
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