Mortgage Refinancing Appraisal in Toronto: What to Expect and How Long It Takes
A refinancing appraisal is an independent opinion of your property's current market value, and your lender uses it to decide how much you can borrow. In Canada, a refinance is generally capped at 80% of the appraised value, and that limit includes every loan secured against the property, such as a second mortgage or HELOC. The appraisal itself is often completed within about two business days of the visit for a typical home, but the full refinance takes longer because of lender review and legal steps.
If you are planning to refinance in Toronto, the appraisal is the step that decides how much room you really have. It can be quick and uneventful, or it can be the moment a plan changes. This guide explains what happens, how long each stage usually takes, and what to do if the number surprises you.
Why This Matters More in Toronto Right Now
That does not mean your appraisal will come in low. It does mean you should check your equity early, instead of assuming last year's value still applies.
How the 80% Rule Works
Here is a simple, made up example.
This is why the appraised value matters so much. A difference of $100,000 in value can change your options completely.
What Happens, Step by Step
You apply. Your lender or broker reviews your income, credit, and the property, and decides an appraisal is needed.
The appraisal is arranged. Many lenders order it themselves or ask you to use an appraiser from their approved list. Ask who arranges it and who pays before you book anything.
The visit. The appraiser comes to the property, measures, takes photos, and notes the layout, condition, and updates. For a condo, this includes details like parking, a locker, and the unit's position in the building.
The analysis. The appraiser compares your property to recent nearby sales and adjusts for differences such as size, condition, and features.
The report goes to the lender. The lender reviews the value along with your application.
Approval and legal work. If everything lines up, the lender issues its terms and the legal steps begin.
How Long Does It Take?
| Stage | What to expect |
|---|---|
| Booking and visit | Depends on scheduling and access to the property |
| Appraisal report | Residential appraisals are often delivered within about 2 business days after the visit |
| Lender review | Varies by lender and how complete your file is |
| Legal and closing | Varies, and often adds more time than people expect |
For commercial and multifamily properties, the appraisal takes longer because the analysis is more involved. At Seven Appraisal Inc., commercial reports typically take about 7 business days, and complex properties can take longer. The best way to protect your timeline is to book early, make sure the appraiser can access the property, and have your documents ready.
What If the Appraisal Comes in Lower Than Expected?
First, know what can and cannot change. An appraiser is independent, so the value cannot be negotiated. What you can do is make sure the report is based on correct facts.
Refinancing a Commercial or Multifamily Property
For income producing properties, lenders care about the income as much as the building. A commercial or multifamily refinance appraisal usually looks at the rent roll, lease terms, operating expenses, vacancy, and the capitalization rate.
If you are refinancing a commercial building, have your current rent roll, recent operating statements, and lease copies ready before the appraiser visits.
How to Prepare Before the Appraiser Arrives
- Make sure the appraiser can get into every area, including the basement and any outbuildings.
- Write down upgrades from the last few years, with approximate dates and costs.
- Confirm your square footage and room count from a floor plan, if you have one.
- For condos, note parking, locker, and any special features of the unit.
- Tidy the property so the appraiser can see its condition clearly.
- For commercial properties, gather the rent roll, leases, and operating statements.
When It Makes Sense to Get Your Own Appraisal First
You do not always need to wait for the lender. A pre application appraisal can help when:
Always check with your lender first, since they decide which appraisals they accept.
Frequently Asked Questions
Get a Clear Number Before You Refinance
If you want to know where your equity stands before you commit to a plan, or you need a certified appraisal for a commercial or multifamily refinance, Seven Appraisal Inc. provides AACI designated, CUSPAP compliant valuations across Toronto and the GTA, with residential turnaround typically around two business days.