Investing

Getting a mortgage renewal after using HELOC for investing

  • Last Updated:
  • Nov 27th, 2017 12:48 pm
[OP]
Jr. Member
May 20, 2002
185 posts
25 upvotes

Getting a mortgage renewal after using HELOC for investing

I am looking for advice. Currently I have a mortgage at 434k at a fixed rate of 3.44%. 12.5 years remaining with a renewal next june.

I just took out a HELOC to invest in a non registered business holding account. Why? With the new CCPC rules coming into place, i have returned my loans to HoldCo. My HELCO is 125k. Helco is at 3.7%


My issue/question is can HELCOs be moved to with my mortgage? Will it limit my options to go with a different lender than CIBC? Am i stuck with cibcs crappy rate.

My purchase price of my home was 930k. Value today is 1.3 to 1.6M.
1 reply
Deal Fanatic
User avatar
Feb 2, 2014
5003 posts
1038 upvotes
Toronto
CowDoc wrote:
Nov 26th, 2017 3:00 pm
I am looking for advice. Currently I have a mortgage at 434k at a fixed rate of 3.44%. 12.5 years remaining with a renewal next june.

I just took out a HELOC to invest in a non registered business holding account. Why? With the new CCPC rules coming into place, i have returned my loans to HoldCo. My HELCO is 125k. Helco is at 3.7%


My issue/question is can HELCOs be moved to with my mortgage? Will it limit my options to go with a different lender than CIBC? Am i stuck with cibcs crappy rate.

My purchase price of my home was 930k. Value today is 1.3 to 1.6M.
Answer is dependent on how the HELOC and mortgage are registered.

Are they combined in one product (one lien) or separate (2 separate liens)?
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative

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