What is a Home Equity Loan?

Home Equity Loan is a type of Second Mortgage loan that’s given against the home equity. Equity is calculated by subtracting the amount owed on the home with the current value of the home. For example, assuming your home is worth $1,000,000 and you have $500,000 remaining on your current Mortgage, therefore, your home equity math break down will be as follows, $1,000,000 (Home Value) – $500,000 (Current Mortgage Balance) = $500,000 of available equity is remaining in your property that we can help you access in the form of a Home Equity Loan.

Since a Home Equity Loan is based on the available equity in the home, the borrower’s income and credit score are not taken into consideration at the time of approval.

The borrower provides his/her property as a form of collateral to the lender. The lender will then provide the borrower with a Home Equity Loan by providing the borrower a loan of up to 80-90% Loan To Value (based on the borrower’s available equity in their property). It is much easier to qualify for this type of loan as it is mainly equity-based. Plus, the interest rates on Home Equity Loans are generally much lower than other types of Mortgage loans. Home Equity Loans also offer quicker closing time frames.

A Home Equity Loan can be taken for multiple reasons including Debt Consolidation, Home Renovation, investment property purchase, educational expenses, cash flow for personal/business use, Pay off consumer proposal or to pay off Mortgage/Property Tax Arrears.

How is home equity built?

Home Equity can be built in Four different ways – by making a larger down payment during time of purchase, by paying down the Mortgage balance, by increasing the market value of the home with home renovations and additions or when the market value of your home increases on its own.

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Home Equity Loans Approved In Less Than 24 Hours!

Borrow against the equity of your Property
NO Appraisal Required For 2nd Mortgages! (Up To 80% LTV in The GTA)
NO Income/Credit Requirement

Services Provided


A & B Lender

Private Lender

Private Mortgage

Mortgage Broker

Home Purchase Mortgage

First Mortgage (1st Mortgage)

Second Mortgage (2nd Mortgage)


Bad Credit Mortgage

Equity Take Out/ Home Equity Loan

Debt Consolidation/ Home Renovation

STOP Power of Sale / Foreclosure

Income Tax Arrears/ Mortgage Arrears

Property Tax Arrears/ Consumer Proposal

Low Interest Rates & Low Fees

Up To 90% LTV Approved

Self Employed= OK!

Low/No income= OK!

Bad Credit= OK!

Equity Approved Loans!

NO Income Documents Required!

Quick Quotes (10-15 Minutes)

Fast Approvals (3-4 Hours)

Fast Closing (24-48 Hours)

How does a home equity loan work?

Before approving a Home Equity Loan, the home equity lenders need to determine the property value, its marketability, its condition and the Mortgage balance. The Mortgage balance can be confirmed by obtaining a recent Mortgage statement from the borrower or by requesting an information statement from the current lender.

A Home Equity Loan is a lump-sum loan, which means the borrower gets all of the funds at once and repays it with a set/flat monthly interest only instalment payments. These payments are generally accompanied by a fixed interest rate that remains the same throughout the payment term of the loan.

How much equity can I borrow from my home?

The amount a borrower can borrow depends on the loan to value (LTV) ratio. A loan to value (LTV) ratio refers to the size of the loan taken by the borrower in comparison to his/her property value used to secure the loan. Homeowners can generally access up to 85-90% loan to value (LTV), in major urban areas in Ontario. Some lenders may scale back the loan to value to 75% or 80% for more rural properties that don’t have a large population. Essentially, lenders want to ensure that there is sufficient equity in the event the Mortgage falls into default, and they are able to successfully sell the property for a reasonable amount in order to get their investment out.

Hamilton, Ontario

I had a very pleasant experience working with Shawn Sef at Equity Mainly Matters Loans. We contacted Shawn looking for help in order to pay off our high interest credit card debts. Shawn made the process very easy for us by explaining the Mortgage loan details for the Debt Consolidation Mortgage Solution which he recommended for us. Shawn was actively present every step of the way and was very knowledgeable. I will definitely recommend Shawn to my peers due to his knowledge, professionalism and expertise.

Brampton, Ontario

Shawn is extremely passionate about his job. Shawn always demonstrates a positive and professional attitude. His easy going and friendly personality always makes the experience of working with him fun and stress free. Shawn made the entire Mortgage loan process very simple for me to which I’m thankful for. Shawn is very proactive and updates me on a regular basis in regards to my file.

Markham, Ontario

Me and my husband had never worked with a Mortgage Broker before. I needed to consolidate all of my debts. I was paying high monthly interest fees to my creditors and my bank informed me that I couldn’t get approved with them because of my low credit score. Shawn did an excellent job by helping me consolidate and pay off all of my various high interest debts. I’m now debt free. My credit score has improved and I don’t owe creditors any monthly high interest payments. We went from paying $1,650 month towards our credit card debts and loans, to now paying only $520 month which helped us build up a good savings. Shawn rescued us from our creditors and helped us save an extensive amount of money for our families future.


As a first time home buyer, we required a Mortgage broker who was willing to be very patient with us and to explain every detail of the Mortgage loan process and provide us with as much information as possible. Shawn informed us of the exact required down payment amount (based on the types of lenders that we qualified for), fees, closing costs, Land Transfer tax etc. Shawn was very good in providing us with accurate rates, figures and calculations which we realized we could afford the monthly Mortgage payments and make the Home Purchase work. One other important factor was that Shawn kept on top of our file by updating the progress every step of the way which was very important to us. Shawn is very proactive which we appreciated!

Toronto, Ontario

Shawn helped our family obtain a low rate 2nd Mortgage from a Private Lender. Banks turned us down as we failed to meet their requirements for the stress test, income and credit criteria. However, Shawn was able to find various Private Lenders/Investors that were interested in making us an offer and we ended up taking a great offer for a 2nd Mortgage which made the most sense for us. We will definitely refer our family and friends to Shawn in the near future. I can’t say how much I appreciate all the time and effort Shawn put into our file.

Mississauga, Ontario

Shawn demonstrates excellent customer service skills. He’s always very quick to respond to my emails and calls. Shawn helped me get approved twice in the past year alone and I hope to work with him again in the near future. Shawn was very friendly, attentive and dedicated his time and effort by providing me with solid knowledge, expertise and advice which in return helped the process of purchasing my first home very easy and stress free. Shawn even followed up on my behalf with my lawyer in order to finalize all the details. I would highly recommend his services.

Ottawa, Ontario

From the first time I spoke with Shawn Sef, I felt comfortable and at ease which was due to his calm and patient personality and attitude. He was also very understanding and caring to our current situation and needs by providing the best course of action for us to take which made the most sense for our family. Shawn is very knowledgeable within the mortgage field and delivered exactly what he said he would. He even provided us with accurate closing/funding dates from day one. I would definitely recommend Shawn Sef to any borrower looking for a good
Mortgage broker.

Toronto, Ontario

Shawn had helped my wife and I obtain a 2nd Mortgage from a Private Lender last year. We used the majority of the Mortgage loan proceeds to help renovate/upgrade our home. Once the refurbishments had concluded, we ordered a new appraisal and noticed that our house value had increased substantially. The following year, Shawn helped us refinance both our Institutional and Private Mortgages into a new low rate, 1st Mortgage with an A Lender (Bank) which is going to help us save an extensive amount of money in monthly payments moving forward. I’m very thankful for Shawn’s knowledge, skills and expertise within the mortgage industry which ended up helping us save thousands of dollars.