- New mortgage product finances construction of laneway homes and garden suites on existing properties, allowing for expansion of living space or securing rental income
- Secondary suites help increase density in urban centres, improving access to housing in communities while providing homeowners with a new option to maximize properties
TORONTO, Aug. 21, 2024 /CNW/ - Equitable Bank, Canada's Challenger Bank™, is pleased to introduce the Laneway House Mortgage, an innovative construction loan to help Canadian homeowners finance the building of laneway homes or garden suites on their property. The loan product, initially available in the Greater Toronto Area, Greater Vancouver Area and Calgary, allows homeowners to expand their living space or gain an additional source of rental income, while also bringing much-needed housing density to urban centres.
Major cities across Canada face critical housing shortages, reflected in high rental costs and home prices, while the country's evolving cultural fabric has made multigenerational housing more popular. Recognizing this need for increased space within existing properties and urban centres, the Laneway House Mortgage provides homeowners with a new solution to adapt their homes and make the most of their properties.
"Making efficient use of space in cities as Canadians' housing needs evolve is more important than ever. The Laneway House Mortgage provides a critical solution that can help support urban densification and create additional income streams amid affordability challenges, while also allowing homeowners to stay in place," said Mahima Poddar, SVP and group head of personal banking, Equitable Bank. "Canadians work hard, and they deserve a good home to come back to at the end of the day – one that's within the communities they love. Equitable Bank is proud to continue playing a lead role in financing projects that support housing accessibility in Canadian cities."
The Laneway House Mortgage aims to help Canadians in various life stages adapt their homes to better suit their needs and can offer many benefits, such as:
- Increasing the value of homeowners' properties;
- Providing multigenerational households with a solution to build additional living space for family members;
- Offering homeowners an additional stream of rental income;
- Improving housing availability and access in urban centres; and
- Offering a way to downsize and remain in their communities without having to relocate.
The Laneway House Mortgage is offered on properties that are free and clear, or in combination with new or existing mortgages where Equitable Bank holds, or will hold, the first position. This construction loan will be available to homeowners through Equitable Bank's mortgage broker partners to ensure the Laneway House Mortgage solution best fits borrower requirements.
Equitable Bank has long advocated for densifying urban centres and endeavored to support affordable housing in Canada through targeted lending. The Laneway House Mortgage is the latest addition to the Bank's array of efforts that support housing densification, including lending towards the development and renovation of multi-unit residential projects such as apartments, condominiums, student housing and other types of multi-unit housing in major cities. In 2023 alone, Equitable Bank funded $3.4 billion in loans for multi-unit residential properties that help address Canada's housing shortage through the Canada Mortgage Housing Corporation's MLI Select Insurance program.
To learn more about Equitable Bank's Laneway House Mortgage, visit equitablebank.ca/mortgage-products. To learn more about Equitable Bank's commitment to lending to improve housing access and affordability, visit eqb.com/responsibility-overview.
About Equitable Bank
Equitable Bank has a clear mission to drive change in Canadian banking to enrich people's lives. As Canada's Challenger Bank™ and seventh largest bank by assets, it leverages technology to deliver exceptional personal and commercial banking experiences and services to over 639,000 customers and more than six million credit union members through its businesses. It is a wholly owned subsidiary of EQB Inc. (TSX: EQB and EQB.PR.C), a leading digital financial services company with $123 billion in combined assets under management and administration (as at April 30, 2024). Through its digital EQ Bank platform (eqbank.ca), its customers have named it one of the top banks in Canada on the Forbes World's Best Banks list since 2021.
To learn more, please visit eqb.investorroom.com or connect with us on LinkedIn.
Media contact:
Maggie Hall
Director, PR & Communications
[email protected]
SOURCE Equitable Bank
Share this article