...pick the one thats right for you.
|HELOC||4.2% (prime + 0.25%)|
First National Financial
Street Capital Bank
|5 year variable||1.15% (prime - 1.3%)|
|3 year variable||0.99% (prime - 1.46%)|
|Line of Credit||Starting at 3.00%|
|Equity Loans||Starting at 5.99%|
|Private Mortgages||Starting at 4.99%|
Nobody ever dreams of living in a house where they’ll have to pay rent forever. Every person, regardless of age, dreams of owning a home at some point. However, achieving those dreams usually seems impossible for most people because of the large investment required and inaccessible funds for aspiring homeowners. Getting a mortgage as a first-time homebuyer isn’t a simple process. You must think about the repercussions the venture will have on your future finances and select a mortgage broker carefully.
Our brokers are experienced in helping first-time buyers own their houses. We will explain all the options applicable to your case and explain the process systematically. Since one of the most important factors when buying a house is the home to value ratio, we will help you calculate it and all the costs to get you the most affordable solution. We insist that you should never take a mortgage that takes up more than 40% of your salary. The housing bills should never cost more than 32% of what you generate every month. When calculating your costs, make sure you include charges that could be hidden, such as taxes and maintenance costs.
Our brokers will ensure you enjoy all the benefits associated with professional mortgage services, such as First Time Home Buyer’s Tax Credit and multiple mortgage options. We will help you choose properties based on your income and the total costs to ensure you buy a house you can afford comfortably. Our brokers know how to interpret all the mortgage conditions accurately to determine how they can affect your present and future financial plans. We can even help you with pre-approval to ease the process as you look for the right house.
Several factors can make mortgage refinancing a good idea. One of them is the possibility of a lower interest rate. Another good reason is the need for large funds for major projects. You can use your home equity to get the money you need through refinancing. When you get a mortgage refinancing for the right reasons, you will get a chance to save a lot of money. On the other hand, if not done for the right reasons, refinancing your mortgage can also result in penalties that can end up being too costly. You must weigh your options carefully to ensure the benefits of the mortgage outweigh the extra costs.
When you refinance, you can get 80% of your home equity. You also get an opportunity to clear off any debt you currently have and start afresh with new terms and rates. Because of this, you can make the new mortgage more suitable for your needs. To get more advantages from the new mortgage, you must consider the interest rates and how they will change, the new mortgage terms and how they will make your life simpler, and the penalties you may accrue. Mortgage refinancing comes with three main options. Other than the Home Equity Line of Credit, you can also break the mortgage or add the new one to an existing one and pay double interest rates. Don’t let penalties dissuade you from giving this mortgage a chance. With the right assistance, you can pay the penalties and still enjoy the financial respite. Our brokers will help you choose the best option from the above-mentioned choices to reduce your repayments tremendously. We can also help you evaluate the mortgage to prevent you from paying interests that are too high.
Mortgage renewals usually give borrowers a chance to readjust the debt situation and make it more oriented with their lifestyle. However, most people only see the notice to renew as a way of prolonging the loan term. Borrowers fail to take advantage of the opportunity a renewal contract brings. It allows you to renegotiate your terms and save a lot of money in the process.
A mortgage renewal means replacing your current mortgage with a new one. You sign a new contract with different conditions, and the money you get pays off what is left of the old loan. You will be left servicing the new loan only, which is why it comes with the possibility of getting a better deal. Your lender will send you the notice to renew the mortgage at least three weeks before the old term is due. In most cases, the lender will also offer better terms with the new mortgage. You can always negotiate for a different loan term, lower interests, or even ask the broker to get you a new lender.
Potential disadvantages of a mortgage renewal are:
You have to evaluate each of these factors carefully to ensure they don’t add to your debt burden. You must also decide whether you want to increase or reduce the term with the new loan and how portable you want the mortgage to be.
Our mortgage brokers in Burlington know how much it will cost to switch lenders and how to get the best rates. We will call several lenders and get you the ones with the best deals and lowest rates.
Although traditional lenders are always the first option for most borrowers, they don’t usually approve all the applications they get. Most banks reject mortgage applications from those who have poor credit scores, those in the informal employment sector, and those who want the money for unconventional investments. That is where private mortgages come in. These mortgages are given by private lenders who don’t have to conform to the same rules as traditional lenders.
It’s easy to get a private mortgage. They take a shorter time to process, and in most cases, the chances of being rejected are slim to none. These mortgages are secured, but they may come at higher interest rates. These lenders aren’t usually interested in your debt history as they focus more on the property you will use as collateral. So long as it is valuable enough to recover their money, they will give you a chance. A private lender can also give you up to 90% of your home equity.
While private mortgages provide relief to those turned down by banks, they also have disadvantages such as higher interests and shorter payment terms. That is why you should always have an exit plan before taking this loan.
A mortgage broker can use their expertise to help you draft an efficient plan that will keep you from losing money. Brokers also know how to get you mortgages that are tailored for your exact needs. Our background in the private lending sector guarantees that you will get satisfactory results when you work with us. We understand the differences between traditional lenders and private lenders, and we will explore them to get you a mortgage that fits in with your financial and personal goals.
Getting a second mortgage means giving the lender your property as collateral. You can use the home equity on the house and get a loan worth 90% of the home value. Since a second mortgage is added to the first mortgage, it is riskier for the lender. As such, it comes at a higher interest and a shorter term. In case you default on your loan, the money recovered from the property will be used to pay up the first mortgage before the second one is addressed. Not all mortgage lenders are comfortable with such a risk. That is why you need mortgage brokers to arrange for the mortgage with the right private lenders.
Evaluating your property is crucial when you’re looking for this type of mortgage. Real estate agents usually do it for free, but you can also get an independent evaluator. Some lenders also ask for specific companies to do the appraisal, but you will still pay them. Get multiple evaluations for an unprejudiced result.
An appraisal isn’t just beneficial to the lender; it also helps you estimate the mortgage amount you’ll likely get. You can get a rough estimate by calculating the product of the amount you owe against the estimated property value. The lower the number, the higher your chances of getting the loan will be.
Since second mortgages are secured, their rates are cheaper than unsecured loans. Therefore, you can use the loan to settle some of your unsecured debts or make any other investment you’re interested in. These mortgages are also mostly offered by private lenders, which means they take a shorter time to approve. A broker is still your best option if you want the best offers.
If you are self-employed, you can control when or where to work, which allows you to manage your time more efficiently. You can also enjoy tax exemptions that businesses are allowed and pay fewer taxes every year. While these factors can make your life easier, being self-employed makes it very difficult to get a loan. Most lenders, especially in the traditional sector, prefer the consistent income that only comes from formal employment. They view the high and low seasons of businesses as unreliable, which makes giving you a loan high-risk to them.
Despite the difficulties, you can still get a self-employed mortgage when you approach the right lenders. You will need your last 2-year tax returns and other documents to show your income capacity and proof of business ownership. With these documents, the lender will give your application the same priority they give the formally employed applicants.
The lenders in this mortgage category calculate a suitable loan amount by finding out the debt-to-income ratio. That is why you should always inform them about all your income sources. If you have multiple businesses or a part-time job you do on weekends, disclose the income from those to the lender. The more income you can prove, the more mortgage you get.
It’s impossible to get a self-employed mortgage from a bank. You will have to deal with private lenders that don’t follow the same rules. Depending on your income, the loan may have higher interest rates or not. Your Burlington mortgage broker can help you assess the situation, prepare all the documents you may need, and allow you to pick a lender from the portfolio they have.
Owning a home has many advantages, and building one from the start enhances those benefits. New construction allows you to make the home exactly how you want it, which can prevent costly renovations. If you need funds to help you complete a new building, a construction mortgage is a solution. The mortgage can be paid directly to the construction company as they continue to work on the house. They will strike a deal with the lender and get paid when they complete each phase. The lender will send an inspector to assess the progress before the contractor is paid. Alternatively, the lender will pay the construction company once the house is completed and you’re ready to take ownership.
You can get a construction mortgage from a bank or a private lender. Either way, you will have to give them the building plans, your contract with the construction company, a title deed for the lot the house is being constructed, and the bill of costs. Some lenders will also ask for the project schedule.
Since a construction project has many risks, you will also be required to pay a larger down payment. Additionally, you will need an extra 15% of the total costs to cater to any delays and additional expenses that may come up after the work begins.
This mortgage carries a lot of risk to both the borrower and the lender. The complexity of the project, together with other uncontrollable factors that could delay the project, can result in loss of funds. Because of this, the application process isn’t always easy. Working with a mortgage broker increases your chances of navigating the complicated procedures successfully. Brokers will also advise you accordingly.
If you have a good value on your home, you can use it to get funds to consolidate some of your debts or advance your studies. A HELOC can give you up to 65% of the equity, and you won’t have to pay the principal mortgage amount until you are ready. You can start by paying back the interest only, and you won’t have to withdraw all the money at once. You can take only the amount you need from the amount you’ve borrowed when you need it.
The flexible payment and withdrawal make a HELOC the best mortgage to settle some of your unsecured loans. If you feel overwhelmed by your credit card debts and other personal loans, a home equity line of credit can give you the relief you need.
This mortgage doesn’t have a fixed mortgage. The interest is calculated daily depending on the market changes. As such, you could end up paying very high rates at some point.
It helps to consider several lenders when looking for a HELOC. It is the only way to compare rates and end up with the best deal. Consider traditional and private lenders, and try to get a sizeable down payment that is more than 20% to increase the chances of quick approval. You must also be careful about how you handle the money. Remember that the home equity is collateral, which means that misappropriation of the funds could result in you losing the house.
Contact a mortgage broker even if your bank can give you the loan. They will give you in-depth information about what will be expected of you and help you negotiate for the best terms.
Borrowers often get to choose one of two repayment options, namely:
When you choose the open mortgage repayment plan, you will be able to pay back the principal amount of the mortgage at any time. It gives you the freedom to pay the loan any time you get sufficient funds without worrying about penalties. Although it gives you more flexibility, this payment plan has the disadvantage of a shorter term. The term will be one year or less if you choose a fixed interest rate or up to five years if you go for variable rates.
If you opt for the closed payment option, you will have to wait until the mortgage term elapses before paying the full capital. You’ll still be allowed to make large payments, but you can’t complete the loan early without being penalized. The only advantage is lower interest rates.
Yes. Pre-approval not only reduces the time you take before getting an ideal loan; it also leads you to the right lenders. The process involves the submission of your financial information to the lender, after which they determine the amount you can qualify for. The lender will also use that information to check your credit rating. When done with the background check, they will tell you the amount you can borrow and the payment plan you’ll have to adhere to. Some of the benefits of pre-approval are:
Closing costs are the fees you pay when you’re getting a mortgage or finalizing the purchase of a property. The costs usually add up to between 2% and 4% of the mortgage you’re getting. The costs also cover various aspects of the property acquisition, such as:
Appraisals are usually done to ascertain the value of the property for the lender, while inspections are done for the buyer to ensure the property doesn’t have structural problems. The adjustment costs cover several aspects such as utility bills and additional taxes that the lender may fail to cover.
Getting a private mortgage was not easy to be honest, but at least with Mr. Leon it was doable. Thank you for your help!
There are a lot of mortgage brokers in toronto to choose from, I was a bit intimidated by that. Don't regret I picked CMB, they took the lead and made sure to cover all the bases
I was renting an apartment for a long time and finally decided to take a big step - get a mortgage instead. Team at certified Mortgage Brokers laid out various options for me. The actual process went smooth and quick, happy with my new home.
My wife and I decided to refinance our mortgage and started looking for a mortgage broker in Toronto. There were so many options, so you can imagine how overwhelmed we got! After talking to Leon we decided to proceed with Certified, didn't regret that decision once. They always gave useful recommendations, were attentive, and constantly in touch. And most importantly (for us) they helped us to save some money!!
Vita was great. Helped my son with all the paperwork and got him very good interest rate. On the closing date called to follow up if everything went fine. Quite a pleasant experience. I would recommend this firm for anyone who is looking a mortgage broker.
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