Heloc on primary residence

[Alex Von Maltzahn]

Anyone get a home equity line of credit? Did it affect the amount you have to pay for home insurance?

am considering heloc but am hoping it won’t affect my insurance I have to pay

[Chris Baxter]

@Alex Von Maltzahn welcome to BP.   There should be no impact on your home owners' insurance.  Insurance is not tied to the financing you have in place on your residence. 

[Stevo Sun]

Quote from @Alex Von Maltzahn:

Anyone get a home equity line of credit? Did it affect the amount you have to pay for home insurance?

am considering heloc but am hoping it won’t affect my insurance I have to pay

 Yep we have a Heloc, doesn't impact insurance. 

[John McKee]

No impact.  The heloc is an important part of every investor's tool kit.

[Anthony Therrien-Bernard]

As everyone already said, no impact on insurance and definitely useful as an investor

[Roy Cleeves]

Hi Alex

Your HLOC is an excellent way to have flexible funds available for opportunities without locking into a long term or a set rate.  It will not affect the cost of your insurance.  If it does then change insurance companies.

[Chris Yarish]

In Canada, a significant number of the large banks have made it so that A HELOC will affect your TDSR, even with a zero balance.

So, no impact on insurance, but a definite impact on the debt servicing front.

[Jill F.]

It may impact your credit score which can in some cases impact what you pay for insurance-- but I would be surprised if a HELOC was a big enough hit to cost you more in insurance