So, you’ve decided to unlock some of the equity in your home to pay down more expensive debt; a wise move that will pay off handsomely down the road; but where to start? While there are many brokers, agents, and of course banking representatives to help, we suggest including a Canadalend home equity loan professional in your search for the best.
Known for their commitment to transparency and integrity, Canadalend’s ‘best in class’ team of professionals will walk you through the entire process, step by step, making sure you’re comfortable and confident with each decision made.
The Appraisal Process
Once you’ve estimated the total amount of debt to consolidate, and completed the straightforward application, your advisor will coordinate with potential lenders to arrange for the property appraisal. The appraised value, less your current mortgage, will be a major factor in the final loan amount (generally up to 85% of the home’s value).
It’s important to remember that appraisal is a process monitored closely by the Appraisal Institute of Canada for ethical and responsible conduct. While the borrower is often responsible for the appraisal fee, the appraiser has a fiduciary duty to protect the lenders assets by providing a fair and accurate representation of your home’s value based on information available at the time of the service. The mortgage broker plays no role in the appraisal process.
Advantages of a Home Equity Loan
Think of your home equity loan as a credit card with a large limit, very low interest rates, and no need to go through the approval process over and over again! So, costs like appraisal are incurred only once (during the initial loan set up process). As you pay down the balance, the equity becomes available to you again.
You can trust your Canadalend home equity loan expert to advise you openly and completely about all related costs, terms and conditions of approval; they appreciate clients who ask lots of questions and welcome the opportunity to educate and advise homeowners who are eager to learn.
When considering a Canadalend home equity loan, remember to ask lots of questions and trust your intuition!