HELOC

Home Equity Line of Credit

A revolving line of credit secured against your home's equity.

A home equity line of credit (HELOC) lets you borrow against the equity in your home on a revolving basis, usually at a variable rate. It is flexible but it is still debt secured by your home. When the borrowed money is used to earn income, such as funding a rental purchase, the interest can be tax-deductible, but only if you can trace the funds to that use, so keep the borrowing clean and separate from personal spending.

General information only, not legal, tax, or financial advice. Rules change and vary by province; confirm the current details with the relevant authority before you rely on them.