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How Rising Home Values in Edmonton Can Help You Refinance
May 28, 2025 | Posted by: Jeff Chin
Edmonton’s real estate market has experienced a steady appreciation in home values over the past few years. For homeowners, this isn't just good news on paper; it can directly improve your financial options, especially when it comes to mortgage refinancing. If you've built up equity due to your home’s increased value, you may be able to take advantage of better mortgage terms, lower interest rates, or access cash through refinancing.
Let’s break down how rising home values in Edmonton can work to your advantage and how you can take the next step with a trusted mortgage advisor like Steven Boodoo.
What Is Home Equity and Why Does It Matter?
Home equity is the difference between what your home is worth and what you still owe on your mortgage. As Edmonton home prices increase, your equity grows, even if you haven’t paid down much of your mortgage.
For example:
If you purchased your home for $400,000 and now it’s worth $500,000, and you still owe $300,000 on your mortgage, your equity is $200,000. This equity can be leveraged when refinancing.
How Can Higher Home Values Help You Refinance?
1. Qualify for Better Refinance Rates
Lenders see borrowers with higher equity as less risky. With increased home value, you may qualify for a lower interest rate, which could reduce your monthly payments or the overall cost of your mortgage.
2. Access More Cash from Your Equity
A common reason homeowners refinance is to access the equity in their home, especially when home values rise. You can use the cash for:
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Home renovations
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Debt consolidation
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Investing
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Education costs
3. Avoid High-Ratio Mortgage Insurance
If your current mortgage required mortgage default insurance because your down payment was less than 20%, rising home values may mean your new loan-to-value (LTV) ratio is under 80%. This can eliminate the need for insurance premiums when you refinance.
Refinance vs. Other Equity-Based Options
While refinancing is a powerful tool, it’s not the only option for accessing your home equity. Some homeowners, especially retirees, may consider a reverse mortgage or a Home Equity Line of Credit (HELOC). These options differ in structure, flexibility, and repayment terms.
For a deeper comparison between refinancing, HELOCs, and reverse mortgages, visit our related article:
Reverse Mortgage vs. HELOC: Which Makes More Sense for Edmonton Retirees
Is Now a Good Time to Refinance in Edmonton?
If your home has appreciated in value and your mortgage is in good standing, now could be an ideal time to refinance. Interest rates may fluctuate, but your increased equity puts you in a strong position. It’s especially worth considering if:
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You want to switch from a variable to a fixed rate (or vice versa)
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You’re nearing the end of your mortgage term
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You have higher-interest debt you’d like to consolidate
Work With a Local Expert Who Understands the Edmonton Market
Refinancing isn’t one-size-fits-all. The right solution depends on your goals, your current mortgage terms, and your long-term plans. That’s where a local expert can make all the difference.
Steven Boodoo is an experienced mortgage professional who specializes in helping Edmonton homeowners navigate refinancing, equity access, and smart mortgage strategies. With deep knowledge of the local market and a personalized approach, Steven can help you determine whether refinancing is right for you, and help you make the most of your home’s rising value.
Contact Steven Boodoo today to schedule your free consultation
Start the conversation and take advantage of your growing home equity with confidence.
