What Is A HELOC, And How Can Toronto Investors Use It?

A HELOC enables Toronto investors to borrow against their property equity, providing flexible and low-cost funds to reinvest in real estate or cover expenses.

A Home Equity Line of Credit (HELOC) is a revolving credit line secured against your home or investment property. In Toronto, where condos average around $ 700,000 and detached homes often exceed $1.5 million (TRREB, 2025), rising values can unlock significant borrowing power. Unlike a traditional loan, a HELOC works like a credit card: you can draw funds when needed, repay, and reuse the line.

For investors, HELOCs are especially useful for:

• Down payments on additional properties, including downtown condos with strong rental demand or east-end semis in Leslieville.
• Renovations and upgrades to increase property value and attract quality tenants.
• Bridging expenses between rental income and carrying costs in higher-interest environments.

Rates are generally lower than those of unsecured loans, and interest is often tax-deductible when the funds are used for investment purposes. At Fox Marin Real Estate Team, we help clients assess when a HELOC is a strategic fit, coordinating with trusted mortgage brokers to secure the best terms and align borrowing with long-term goals.

Key takeaway: A HELOC is a flexible tool that enables Toronto investors to unlock equity, finance new opportunities, and strategically scale their portfolios.

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