TorontoReverseMortgage.ca explains the home energy loan program Toronto homeowners can use to upgrade an older house before winter: the City of Toronto’s Home Energy Loan Program, known as HELP. This page also compares HELP with a reverse mortgage.
In 2021, 19.0% of Toronto residents of single-detached houses lived in one built before 1946, and another 26.7% lived in one built from 1946 to 1960 (City of Toronto ward profiles, 2021 Census).
What a HELP loan pays for
HELP pays for energy upgrades on the City’s list, which includes (City of Toronto, HELP):
- air-source heat pumps, and high-efficiency furnaces, boilers, air conditioners and water heaters
- window and door replacements
- insulation in the basement, attic or exterior walls
- air sealing, such as weather stripping or caulking
- rooftop solar panels and battery storage
The program is for detached and semi-detached houses, row houses, duplexes, triplexes and low-rise residential buildings of up to three storeys and six units. Every owner on title must agree.
How much you can borrow, and what it costs
You can borrow up to $125,000, but no more than 10% of your property’s current value assessment, the value used for property tax. In 2026, assessments are still based on January 1, 2016 values (MPAC).
For example, the owner of a home assessed at $692,140, the City’s figure for the average Toronto home in 2026, could borrow up to $69,214.
The fixed rates, valid until December 31, 2026, are 3.83% for a 5-year loan, 4.43% for 10 years, 4.85% for 15 years and 5.12% for 20 years. The City adds a 2% administration charge. These figures were checked October 28, 2026, and may change after December 31.
You repay the City through your property tax bill, in 11 monthly instalments a year, for the length of the loan. You can pay off the balance at any time. The loan is attached to the property, not to you, so a buyer takes over any balance left when the home is sold.
Your mortgage lender’s written consent is required before the City can send you a funding offer, if you have a mortgage.
The five steps to a HELP loan
- Complete the application form.
- Have a home energy assessment and send the funding request.
- Sign the property owner agreement.
- Complete the upgrades and submit a project completion report.
- Repay the loan over time on your property tax bill.
City of Toronto HELP staff attend the Fall Home Show at the Enercare Centre, Exhibition Place, October 2 to 4, 2026.
How HELP differs from a reverse mortgage
| Feature | HELP loan | Reverse mortgage |
|---|---|---|
| Lender | City of Toronto | One of four Canadian lenders |
| What the money is for | Energy upgrades on the City’s list | Anything you choose |
| Most you can borrow | $125,000, or 10% of the assessed value if lower | Up to about 50.5% of the home’s value at 65, more when older |
| Paying it back | 11 monthly instalments a year on the tax bill | No required monthly mortgage payments; interest adds to the balance |
| Rate | 3.83% to 5.12% fixed, plus a 2% charge (until Dec 31, 2026) | 6.23% to 6.49%, advertised 5-year fixed (checked Oct 31, 2026) |
| When it ends | Paid off over the term, or taken over by a buyer | Due when the home is sold, or the last borrower moves out permanently or passes away |
A HELP loan adds to your property tax bill every year until it’s repaid. A reverse mortgage has no required monthly mortgage payments, but interest is added to its balance instead. Property taxes, home insurance and upkeep stay yours with either one.
Home price growth often offsets some or all of a reverse mortgage’s interest, and Canadian borrowers keep about half their equity on average. With a reverse mortgage, you never owe more than the home’s fair market value on the day the mortgage comes due, as long as taxes, insurance and upkeep are kept up.
Who each one suits
HELP suits an owner who needs money only for upgrades on the City’s list, and whose budget can take a higher tax bill for 5 to 20 years. A reverse mortgage suits an owner 55 or older who wants no required monthly mortgage payments, needs money for more than energy upgrades, or wants to pay off an existing mortgage.
Other options are compared in alternatives to a reverse mortgage in Toronto. The rate is only one part of what a reverse mortgage costs in Toronto.
HELP and a reverse mortgage together
A reverse mortgage borrower would need that lender’s written consent before the City could send a HELP funding offer. The HELP instalments would also become part of the property tax bill, and keeping property taxes paid is one of the conditions of every reverse mortgage. Falling behind is covered in property tax arrears in Toronto.
Richard Hopkins, Mortgage Broker, compares every reverse mortgage lender in Canada. He also arranges home equity lines of credit, so his advice fits your situation, reverse mortgage or not.
Accessibility changes have a separate tax credit
The federal Home Accessibility Tax Credit covers up to $20,000 a year of eligible expenses for a person 65 or older, or eligible for the disability tax credit, and is worth up to $3,000 (Canada Revenue Agency). Paying for larger changes is covered in aging-in-place renovations in Toronto.