Not because they’re risky borrowers —
but because traditional lenders no longer approve based on real life.
If you own property with equity, your home may qualify you for financing even when income, credit, or timing fails a bank’s checklist.
What Is an Equity Based Mortgage?
An equity based mortgage focuses primarily on:
property value
loan-to-value (LTV)
location and marketability
exit strategy
Instead of relying heavily on:
T4 income
strict debt ratios
stress test math
perfect credit
Approval is driven by the strength of the property, not just the borrower’s paperwork.
Why Equity Based Mortgages Are Growing in Ontario
Ontario homeowners are running into bank roadblocks like:
mortgage renewals being refused
HELOCs being frozen or reduced
self-employed income not qualifying
commission or retirement income discounted
tighter underwriting across the board
Even borrowers with significant equity are being declined.
That’s where equity based lending fills the gap.
Who Uses Equity Based Mortgages?
Equity based mortgages in Ontario are commonly used by:
self-employed borrowers
commissioned professionals
retirees living off assets
homeowners consolidating debt
borrowers facing renewal pressure
families dealing with life events (divorce, probate, job changes)
If you have equity, you often have options.
What Can an Equity Based Mortgage Be Used For?
Homeowners use equity based mortgages to:
refinance when banks say no
stop power of sale
consolidate high-interest debt
fund renovations or construction
cover tax arrears or legal obligations
bridge timing gaps before a sale or refinance
These are problem-solving mortgages, not one-size-fits-all loans.
How Equity Based Approval Works
Private lenders assess:
current market value
total mortgage balance
available equity
property type and location
realistic short-term plan
Because underwriting is property-first, approvals can often happen in days, not months.
How Lendworth Helps Ontario Homeowners
Lendworth specializes in equity based mortgages across Ontario, helping homeowners secure financing when banks won’t.
Borrowers work with Lendworth to:
replace refused mortgage renewals
unlock home equity quickly
avoid open-term penalties
stabilize finances and regain control
Approvals are fast, practical, and based on equity — not rigid formulas.
You can apply directly here:
👉 https://www.lendworth.ca/borrow
Is an Equity Based Mortgage Permanent?
Usually not.
Most equity based mortgages are short-term solutions designed to:
solve an immediate problem
improve the borrower’s position
refinance into traditional lending later
or sell on a better timeline
The goal is flexibility — not long-term private debt.
The Bottom Line
An equity based mortgage doesn’t mean you failed the bank.
It means the bank’s rules failed you.
If your property has equity, that equity can still work for you — even when income or credit doesn’t fit a traditional box.
Looking for an equity based mortgage in Ontario?
You may qualify faster than you think.
📞 Call Lendworth today or apply online at
👉 https://www.lendworth.ca/borrow
to explore fast, equity-based mortgage solutions.