An Equity Line of Credit can be used by property developers who wish to refinance against unsold stock of a completed project. This loan can be used to pay back the development facility and can typically produce more favourable terms.

It can also be used to significantly reduce the amount of equity/cash you must fund yourself in order to complete a project, funding the gap between your first mortgage and total development costs.

Another purpose is to leverage against your current equity (home, investment property or other assets) to invest in your next project - for example, purchase your next development site or use it for development approval and construction costs. In this case, you can improve your balance sheet by retaining the assets, and enjoying long-term capital growth.