Second Mortgage in Toronto
Do you own a home and need funds in Toronto? Do you have blemished or poor credit and need a competitive mortgage rate? You are in luck, as our mortgage agents at Expert Mortgage can navigate you through the 2nd mortgage lending arena with ease. Expert Mortgage has assisted hundreds of clients obtain the best terms and rates, despite having bad credit and in many cases without income. We have a combined experience of over 100+ years with respect to mortgage lending and assisting clients who are self-employed or not able to qualify at a traditional bank.
What is a Second Mortgage?
A second mortgage is a mortgage taken out against a property and registered in second position behind an existing first mortgage. 2nd mortgages are viewed as secondary collateral that is registered on the respective home and generally has terms that vary from a first mortgage with respect to interest rates and terms of repayment. Given, the subordinate nature of this form of mortgage, in the event of default, the lender of the second mortgage will fall behind the first lender, where it comes to receiving their funds in the event of a sale of the property. It is for this reason that most second mortgages are then indeed priced higher than first mortgage rates and can vary from prime to up to the double digits. Its particularly important to make use of a Toronto second mortgage broker to assist you in finding the best terms and rates where this form of mortgage is concerned.
What are the rates on a 2nd mortgage?
A loan product known as a heloc ( home equity lines of credit), which can be registered in first or second position, can usually start at prime interest rate and is secured by your home. As of recent, many banks have been scaling back on offering this product and have income and qualifying criteria that makes it difficult to be approved. I do not recommend looking for a second mortgage rate calculator, as each client has their own unique set of circumstances that apply and need to be factored into the overall interest rate. An expert mortgage agent is the best bet in navigating you through the process and ensuring you obtain the best terms for your first or second home borrowing needs.
What terms available in Toronto, Ontario?
In contrast to first mortgage terms that can span between being open to 10 years( in some instances), second mortgages usually have a term of 1 year in duration. In some cases, I have clients have asked for a two-year term with a fixed 2nd mortgage interest rate, which we have acquired for them to meet their lending requirements. This is usually the case where the first mortgage is not up for renewal for 24 months, and we are looking to merge the first and second into one new mortgage at a lower rate. Its always best to discuss your personal circumstance with a licensed mortgage agent.
Would I need A Private Mortgage?
If you do not qualify for a loan from an A lender or subprime lender, we will explore your options with a private lender in Toronto, who we will vet to ensure you receive the best terms and rate with respect to your 2nd mortgage loan needs. Most private mortgages are short-term in nature and can range from 1-2 years depending on what has been negotiated for your borrowing purposes. We suggest that a private mortgage be used as a short-term bridge and not as a long-term strategy.
Benefits of a Second Mortgage In Ontario
The access to funds from a home equity loan is one of the fastest ways to fund any high-interest debts you may have or monies required to fund a business or investment opportunity.
- This
form of equity loan is a way to borrow money without much hassle where
income and credit requirements are concerned. The amount of equity you can
drawdown on depends on your current debt level and available equity in
your property.
- From
our experience, Interest rates on 2nd mortgages are usually lower than
rates on a credit card or personal loans as your home acts as collateral
for the loan, reducing the risk for the lender.
- If
you use a second mortgage for investment purposes, you may be able to
write-off all or a portion of the interest paid on this mortgage,
however, always confirm this with your accounting professional, before you
rely on the tax benefits of this form of a mortgage loan.
2nd Mortgage Remote Signing Service In Ontario
In this pandemic environment, our client's safety is paramount in fulfilling your second mortgage and home equity loan needs. Feel free to call us today, and we will provide you with all the necessary steps to take advantage of this service at no upfront cost to you.
For any questions regarding second or home- equity
loans, please contact:
Victor Kaushal
Best Refinance – Toronto Second Mortgage Brokers
3880 Duke of York Blvd
Best Refinance – Toronto Second Mortgage Brokers
3880 Duke of York Blvd
Mississauga, ON L5B 4M7
416-895-6074
304-1880 O’Connor Drive
Toronto, ON M4A 1W9
416-895-6074
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