A HELOC or mortgage refinance are the most common ways to fund a larger renovation project.
Understand a HELOC's flexibility
A HELOC lets you borrow against your home's equity as needed, up to an approved limit, paying interest only on what you draw — well suited to a phased or uncertain-cost project.
Understand a refinance's structure
Refinancing replaces your existing mortgage with a new, larger one, giving you a lump sum upfront — often suited to a project with a clear, fixed budget.
Compare current rates for both options
HELOC and refinance rates move independently and can favour either option depending on market conditions at the time — worth comparing both before committing.
Budget a contingency into whichever amount you borrow
Borrow slightly more than your initial quote to cover the same 10–20% contingency every renovation project should budget for.
Borrow as needed up to an approved limit, paying interest only on what you draw — flexible for a phased project.
Replace your existing mortgage with a larger one, receiving a lump sum upfront — suited to a fixed-budget project.
For a smaller project, an unsecured loan avoids touching your mortgage entirely, though typically at a higher rate.
Use our Mortgage Calculator to see how a refinance amount affects your monthly payment.
Book a free consultation with Narges to talk through your options, or run your own numbers with our Mortgage Calculator.
