Services

Mortgages

A mortgage is a loan to buy real estate, typically a home, with the property as collateral.
Borrowers repay the principal plus interest over 15-30 years, where non-payment risks foreclosure. Mortgages vary by type (fixed or variable rates) and terms, suiting different financial situations.

How Mortgages Work
  • Principal and Interest: Loan amount plus borrowing cost.
  • Down Payment: 5–20% upfront; under 20% may require insurance (e.g., CMHC in
    Canada).
  • Term and Amortization: Term (e.g., 5 years) sets agreement length; amortization (e.g., 25 years) is total repayment period.
  • Types: Fixed-rate for stability; variable-rate for potential savings.
Mortgages for Different Borrowers
  • First-Time Home Buyers: Low savings; access low-down-payment options and programs like Canada’s First-Time Home Buyer Incentive.
  • Employed: Stable income; get standard mortgages tailored to income and credit.
  • Self-Employed: Income proof issues; qualify via stated-income or alternative
    documentation.
  • High-Net-Worth: Seek jumbo loans; access private lenders for luxury or investment
    properties.
  • Bad Credit: Low scores; use alternative lenders with lenient criteria.
Why Use a Mortgage Broker?

Brokers offer:

  1. Access to multiple lenders.
  2. Better rate negotiations.
  3. Guidance for complex cases.
  4. Simplified paperwork and ongoing support. 

Mortgages enable homeownership across diverse needs. A broker helps secure the best fit for each situation.

Refinancing and Equity Take Out

Refinancing replaces an existing mortgage with a new one to secure better terms, like lower rates or adjusted payments. Equity take out lets homeowners borrow against their home’s equity, the property’s value minus the mortgage balance for cash. Both help manage finances or fund goals.

Refinancing

Pay off the current mortgage with a new loan to adjust terms.

  • Lower rates to save on interest.
  • Change term for faster payoff or lower payments.
  • Switch from variable to fixed-rate, or vice versa.
  • Consolidate high-interest debt into the mortgage.
Equity Take Out

Borrow against home equity, receiving cash via a larger mortgage.

  • Fund renovations, debt, or investments.
  • Interest may be tax-deductible (e.g., for income-producing investments in Canada).
  • Increases loan amount and payments.
Benefits And Considerations
  • Benefits: Refinancing saves money; equity take out provides flexible cash.
  • Considerations: Fees (e.g., appraisal, legal) and risks (e.g., higher debt, foreclosure) apply.
  • Eligibility: Needs sufficient equity, credit, and income

A mortgage broker can secure the best rates and terms for your situation.

Debt Consolidation

Debt consolidation combines multiple debts into one home equity loan, often with a lower interest rate, to simplify payments and save money. It’s ideal for managing high-interest debts like credit cards. A mortgage broker arranges this using your home’s equity (its value minus your mortgage balance).

How It Works

A broker secures a home equity loan to pay off your debts, leaving one payment.

  • Home Equity Loan: Borrows against your home’s equity at a low rate to cover debts, but missed payments risk your home.
  • Equity Takeout: Accesses cash from your home’s value, added to a new or adjusted mortgage, to clear other debts.
Benefits
  • One Payment: Easier to manage than multiple debts.
  • Lower Interest: saves money (e.g., 20% credit card to 4% loan rate).
  • Lower Payments: Spread over time for affordability.
  • Better Credit: On-time payments improve credit scores.
Things To Watch Out For
  • Fees: May include appraisal or legal costs.
  • Debt Risk: Avoid new debt on old accounts.
  • Qualifying: Varies; need home equity, but some lenders accept lower credit scores.
  • Longer Terms: May increase total interest paid.
Who It Helps
  • People with high-interest debts (e.g., credit cards).
  • Those juggling multiple debts.
  • Homeowners with equity (common in BC).
  • Bad credit borrowers via alternative lenders.

A mortgage broker finds the best home equity loan for your needs, simplifying your finances.