Using Your Home Equity to Stay Just a Little Bit Longer

Diane Buchanan • September 18, 2017

Last month, the article “Can’t find the Perfect Property in Your Price Range” was published on the blog, where the purchase plus improvements program was outlined as a way to buy and renovate a property at the same time. If you are looking to buy a new home, but can’t find something you love, this article is certainly worth a read! But what if you don’t want to move? What if you like the place you’re in, but it could use a few upgrades? Well, here are some ways you might be able to stay, just a little bit longer!

Introducing the mortgage refinance, and the refinance plus improvements. Both products allow you to leverage your home equity for home improvements.

Refinance

If your mortgage balance is less than 80% of your property’s value, then assuming you qualify (given the latest changes to mortgage qualification), you can access the equity built up in your home to that 80% level. Lenders will typically ask what the funds are going to be used for, however you won’t have to prove anything after the fact. You should be able to access up to $200,000. Assuming you have the equity, a refinance is a really great way to access funds for various reasons, here are just a few:

Renovate your house
Consolidate your high-interest debts
Help your children pay for education
Top up your investments
Access money for a downpayment on a vacation property
Start a new business (just don’t quit your day job)
… Or any combination of the above

But what happens if you want to do some renovations to your property, but your mortgage balance is more than 80% of your home’s value? That’s where the refinance-plus-improvements comes in.

Refinance-Plus-Improvements

Although guidelines will vary from lender to lender, the refinance-plus-improvements will allow you to access up to 80% of your property’s existing value, plus the cost of the renovations. Most lenders will consider 10% of the initial value of the home, or $40,000, whichever is less, to be included for renovations. So when you take the existing value of your home and add the suggested cost of the renovations, this becomes the improved value. The mortgage is then based on the improved value, instead of your existing value.

However, the catch here is that the renovations have to increase the value of your home accordingly. And the lender wants to ensure that the renovations have been completed, and the value of the property has been increased before they will actually let you have access to the money. So, although the cost of the renovations can be added to the mortgage, it’s your responsibility to pay for the renovations up front, and once the improved value is substantiated by an appraisal, then the funds will be released from the lawyer’s trust account.

Securing a purchase-plus-improvements is certainly a little more tricky than executing on a refinance, but if you don’t have enough equity saved up, this might just be the product that allows you to access your home equity in order to increase the value of your home, and give you a nicer home to live in. Win win.

If you have any questions about either a refinance or a refinance plus improvements, and what each of these would look like given your financial situation, please don’t hesitate to contact me anytime, I’d love to work with you!

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DIANE BUCHANAN
Mortgage Broker

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Monthly vs. Biweekly Mortgage Payments: Which Is Better?

By Diane Buchanan • October 7, 2026

How Mortgage Payment Frequency Affects What You Pay Over Time You’ve probably heard the saying that there are two certainties in life: death and taxes. When it comes to your mortgage, there’s really just one certainty—you’ll repay what you borrow, plus interest. What is flexible, though, is how often you make your mortgage payments. And that choice can have a meaningful impact on how quickly you pay down your mortgage and how much interest you pay over time. The Six Mortgage Payment Frequencies Most lenders offer the following payment options: Monthly – 12 payments per year Semi-monthly – 24 payments per year Bi-weekly – 26 payments per year Weekly – 52 payments per year Accelerated bi-weekly – 26 payments per year Accelerated weekly – 52 payments per year Standard Payment Frequencies The first four options are designed to align with how you get paid. For example: Paid monthly? Monthly mortgage payments may make sense. Paid every two weeks? Bi-weekly payments can align nicely with your cash flow. With these standard options, regardless of how often you pay, the total amount paid over the year is the same —it’s simply divided into more frequent payments. What Makes “Accelerated” Payments Different Accelerated payments work differently—and this is where the real savings happen. With accelerated bi-weekly or accelerated weekly payments, you’re paying a slightly higher amount each time. That extra money goes directly toward reducing your mortgage principal, which lowers the interest you’ll pay over the life of the mortgage. A Simple Example Let’s assume a $1,000 monthly mortgage payment: Monthly: $1,000 once per month = $12,000 per year Semi-monthly: $500 twice per month = $12,000 per year Bi-weekly: $1,000 × 12 ÷ 26 = $461.54 every two weeks = $12,000 per year Accelerated bi-weekly: $1,000 ÷ 2 = $500 every two weeks = $13,000 per year With accelerated bi-weekly payments, you effectively make two extra payments per year without having to think about it. Those extra payments reduce your principal faster, which lowers interest costs over time. Accelerated weekly payments work the same way—you just make smaller payments more frequently. Why This Matters Long Term While it’s difficult to calculate exact savings due to variables like interest rates, terms, and amortization changes, maintaining an accelerated payment schedule over the life of your mortgage can reduce your amortization by up to three years and save a significant amount of interest. The Bottom Line Accelerated payments are a simple, automatic way to lower your overall cost of borrowing—without needing to make lump-sum payments or drastically change your budget. If you’d like to see how different payment frequencies would impact your mortgage specifically, feel free to reach out anytime. I’d be happy to walk through the numbers with you and help you choose the option that fits your goals.

Need Funds Between Buying and Selling? Here’s How Deposit Loans & Bridge Financing Help

By Diane Buchanan • September 30, 2026

You’ve outgrown your current home. It no longer fits your life, so moving makes sense. And you’re not interested in juggling two properties. Selling first and buying something new feels like the right move. Ideally, you want possession of the new home before leaving the old one. That overlap makes moving easier, reduces stress, and gives you time to paint, renovate, or settle in before the boxes arrive. But there’s a common challenge. What if the down payment for your next home is tied up in the equity of the one you’re selling? That’s where bridge financing comes in. How bridge financing works Bridge financing temporarily unlocks equity from your current home once it has a firm sale . It bridges the gap between selling your existing property and purchasing your next one, allowing you to use that equity toward your down payment. What about competitive markets? In a hot market, a strong offer often means a larger deposit . If you don’t have that cash sitting in your account, but you do have equity, a deposit loan can help you compete with confidence. The non-negotiable requirement To qualify for bridge financing or a deposit loan, your current home must have a firm, unconditional sale . No firm sale = no bridge or deposit loan. Lenders need certainty to calculate available equity and manage risk. Bottom line A firm sale is the key that unlocks bridge financing and deposit loans. If you’re planning a move and want to understand how these options could work for you, let’s talk. I’m always happy to walk you through your options and help you plan your next step with confidence.