BREAKING: BoC Holds Interest Rate For Second Time In A Row

Readvanceable Mortgage

A readvanceable mortgage combines a traditional mortgage with a HELOC, giving borrowers flexible access to equity as they pay down principal.

Readvanceable Mortgage

September 30, 2025


What is Readvanceable Mortgage?

A readvanceable mortgage is a type of mortgage product that combines a traditional mortgage with a revolving home equity line of credit (HELOC). As the borrower pays down the principal, the available credit in the HELOC automatically increases, allowing ongoing access to home equity.

Why Readvanceable Mortgages Matter in Real Estate

Readvanceable mortgages matter in real estate because they provide borrowers with flexible access to home equity for renovations, investments, or emergencies. However, they require discipline, as the revolving credit structure can lead to long-term debt if mismanaged.

Example of Readvanceable Mortgages in Action

A homeowner has a $500,000 readvanceable mortgage split between a $350,000 mortgage and a $150,000 HELOC. As they pay down the mortgage, their HELOC borrowing capacity grows, giving them flexible access to funds.

Key Takeaways

  • Combines a mortgage with a revolving HELOC product.
  • Credit limit increases as mortgage principal is repaid.
  • Provides flexible access to equity for various uses.
  • May lead to persistent debt if mismanaged.
  • Registered as a collateral charge on title.

Related Terms

Additional Terms

Public Realm Improvements

Public realm improvements are enhancements to public spaces such as sidewalks, parks, plazas, and streetscapes, often funded or contributed by. more

Mortgagee in Possession

A mortgagee in possession is a lender who takes control of a property after borrower default, but before foreclosure or power of sale. The lender. more

Lease Surrender Agreement

A lease surrender agreement is a negotiated contract between a landlord and tenant that ends a lease before its scheduled expiration. Terms may. more

Green Infrastructure

Green infrastructure refers to natural or engineered systems that manage stormwater, reduce heat, and improve sustainability in developments.. more

Escrow Holdback

An escrow holdback is a portion of funds withheld at closing and held in escrow until specific conditions are met, such as completion of repairs,. more

Underused Housing Tax

The Underused Housing Tax (UHT) is a federal annual 1% tax on the value of vacant or underused residential property owned by non-resident,. more

More For You

10 Major Metro Vancouver Developments Set To Complete In 2026

10 Major Metro Vancouver Developments Set To Complete In 2026

A rendering of Phase One of Sen̓áḵw, set to complete this year. (OPTrust, Nch’ḵay̓)

This is a very significant moment in time for the real estate industry. New construction has slowed to a crawl due to a confluence of factors, including economic conditions, elevated construction costs, tariffs, and buyer sentiment.

It's typical for developers to have projects at various stages, however, at present, many development projects are still lingering under construction — namely, the last wave that reached the construction phase before the market downturn.

Keep ReadingShow less

With Residential Construction "Collapsing" In Ontario, Structural Reform Is The Fix

With Residential Construction "Collapsing" In Ontario, Structural Reform Is The Fix

Ontario’s residential construction sector is not just slowing — it is collapsing under the weight of a policy, cost, and confidence crisis that has been decades in the making.

RESCON’s latest pre-budget submission to the province lays it bare, noting that a literal perfect storm of factors has come together to create an environment where building homes that builders can manage to build — and purchasers can afford — is illusory.

Keep ReadingShow less

Confident In Office, Europro JV Buys 7.8-Acre Yonge Corporate Centre From Cadillac Fairview

Confident In Office, Europro JV Buys 7.8-Acre Yonge Corporate Centre From Cadillac Fairview

The Yonge Corporate Centre at 4100–4150 Yonge Street in Toronto. (Europro)

After first listing the Yonge Corporate Centre three years ago, pulling the listing, then re-listing the property this time last year, Toronto-based Cadillac Fairview has finally completed a sale of the sprawling office property.

In late January, Toronto-based commercial property management company Europro announced that they had partnered with Arista, Fieldgate Commercial, and Paradise Commercial to acquire the Yonge Corporate Centre, but did not disclose details about the transaction or ownership split.

Keep ReadingShow less

Preparing Your Home For Sale: The Complete Guide

Preparing Your Home For Sale: The Complete Guide

Unsplash

This article was written and submitted by Cameron Levitt, a Toronto-based real estate agent with RE/MAX Hallmark who writes about housing dynamics, market trends, and offers practical advice for buyers and sellers.

You wouldn't show up to a first date in dirty clothes, or walk into a job interview with your CV scribbled on a napkin. So why would you sell your biggest asset without the same level of care?

Keep ReadingShow less

Bank Of Canada Holds Interest Rate Steady In First 2026 Announcement

Bank Of Canada Holds Interest Rate Steady In First 2026 Announcement

Bank of Canada/X

On Wednesday, the Bank of Canada held its policy rate at 2.25%, following a series of cuts in 2025 that brought the benchmark overnight rate to its current level.

Leading up to the announcement, many major Canadian banks — including RBC, TD, and CIBC — came into 2026 expecting the Bank to maintain a steady policy stance.

Keep ReadingShow less
BREAKING: BoC Holds Interest Rate For Second Time In A Row

Soft Curves, Strong Vision: Don't Miss This Trinity Bellwoods Home

Soft Curves, Strong Vision: Don't Miss This Trinity Bellwoods Home

44 Foxley Street (realtor.ca)

In a city that’s no stranger to architectural ambition, 44 Foxley Street still manages to stand apart.

Tucked into the Trinity Bellwoods neighbourhood, the residence is a sculptural rethink of what contemporary urban living can look like.

Keep ReadingShow less

Year-Ahead Outlook: Industry Insiders On What To Expect In 2026

Year-Ahead Outlook: Industry Insiders On What To Expect In 2026

Shivendu Shukla

If 2025 was about waiting things out, 2026 is about finding out what still works.

Experts across development, construction, investment, and beyond say the real estate industry appears to be moving from pause to pressure-testing.

Keep ReadingShow less

After Years Of Remote Work, Toronto’s Office Market Is Heating Up

After Years Of Remote Work, Toronto’s Office Market Is Heating Up

In early January, the Ford government’s return-to-office (RTO) mandate took effect, ordering 60,000 public servants back to the office. The move culminates more than a year of RTO mandates from big names in tech and finance, reaching a fever pitch in late 2025, and has put a significant amount of pressure on Toronto’s office market.

The trend is reversing years of near-stagnant activity in the downtown commercial real estate scene, which took a big hit from COVID-era work-from-home policies. And it comes as companies are advocating for increased productivity and workplace camaraderie, alongside needing to justify massive investments in costly office spaces.

Keep ReadingShow less
Privacy PolicyAbout UsTerms of UseAdvertise with UsJobsContact UsRSS Feed
2025 © STOREYS Publishing Inc. | All Rights Reserved