Need a conventional mortgage or something a bit different? Here are some of the more common options we can offer you.
To qualify for a conventional mortgage, you must have at least 20% of the purchase price of the home as your down payment. These mortgages can have fixed rates, or variable rates (which adjust with Bank of Canada Prime interest rates).
If you have less than 20% of the total purchase price as a down-payment, you need a high-ratio mortgage. These mortgages must also be insured.
You can repay part or all of this mortgage any time without any prepayment fees.
A closed mortgage usually has a lower rate than an open mortgage. You can pre-pay up to 20% of the original mortgage amount. But there are costs to pay out early, renegotiate or refinance before the end of the mortgage term.
Offers the same security as a closed mortgage, but you can convert it to a longer term closed mortgage without any financial penalty.
Have a home that’s paid for? A reverse mortgage lets you convert some of your home’s value into ready cash.
A second mortgage is often a home equity loan. In other words, you can convert some of the value of your home into cash. Second mortgages typically have higher interest rates than a first mortgage.
These are typically short-term, interest-only loans. At the end of the mortgage term, you still owe the entire amount of the original mortgage. You might use a private mortgage for a property that conventional lenders will not mortgage, for short-term cash, or if your credit history is an issue.
We can arrange financing for a home you’re building. The lender will release amounts to you as the building progresses. Interest rates are typically higher than for a mortgage on a home that already exists.
A commercial mortgage helps your business buy property. It is typically for a shorter term than a residential mortgage and lenders usually need more information than for a residential mortgage application.
Did you know…your payment schedule can save you money?
That’s right! You can choose from six different payment schedules:
- Bi-weekly or bi-weekly accelerated
- Weekly or weekly accelerated
The schedule you pick could save you thousands of dollars on the total interest you pay on your mortgage.
Contact an agent today for more information or to get help with financing today.