Where do you start when you’re looking to finance a home or business? How about refinancing an existing one? The first step is to contact a mortgage broker and explore all of your options. Our professional partners can help.
Our specialists will meet with you face-to-face in an introductory meeting of the financial minds. It’s then that you will tell your story, share your goals and explore which financing vehicle will make the best fit. Our specialists have an artillery of financing solutions – whether it’s for your first Toronto-area home or if you’re a business owner looking to move onto the next big project.
Like many industries, mortgage brokerages are regulated by a national body. Mortgage brokers are registered with the Financial Services Commission of Ontario, which regulates all Ontario mortgage brokers, as well as pensions, insurance, credit unions and loan and trust companies. Your mortgage broker may also belong to other professional associations, which ensures that the broker abide by an industry code of ethics and professional standards. Professional industry memberships also give brokers access to the latest news, techniques and statistics that give them the inside scope on any new developments in mortgages and financing.
Even before you set foot inside your potential new home or business, it’s wise to meet with your broker first to see if you qualify for a mortgage and the amount of financing.
Asset vs. debt ratio
After meeting with you and investigating your financial records, your broker will put the figures into the mortgage calculator to find out your asset vs. debt ratio. It saves a lot of time and effort so you can narrow your search to the properties within your budget.
Obtaining a second or third mortgage can be a nerve-wracking experience. You may be taking out an additional mortgage to finance a business or home renovation, or you may need a little extra help with some unforeseen bills. As with a first mortgage, your mortgage specialist will ask you to divulge all of your assets and your liabilities – the debts like car loans, credit cards and other loans.
Have you ever met with a financial advisor who has a vast vocabulary of technical terms but who leaves you lost in the translation? Our specialists can take you through the mortgage dictionary and explain in layman’s terms exactly what they mean and how they affect you in your mortgage search – from A to Z.
The good news about mortgage brokers is that they are not tied to one bank or financial institution, but rather they access a range of lenders and financing vehicles, whatever will suit you best. By sitting down with you and working with real figures, your financial figures, they know what you need and can introduce you to often the lowest lending rate, or the one that will give you the biggest bang for your borrowing buck.
Transferring a mortgage
Not happy with your current financial institution? It costs you nothing to transfer your current mortgage to different lending institutions upon the expiry of their current mortgage term. That’s why it’s important to know exactly when your mortgage term is due to expire. Fail to keep this date in mind and you may end up waiting a while for the next expiry date or paying large to transfer the mortgage before the term expires.
Traditional borrowing has gone the way of the dodo. Long gone are the days when the national banks ruled our mortgage decisions. Sure, you can still opt for that route, but today borrowers have more choice. Mortgage brokers and their connections give you that choice. So, before you call up your GTA-area bank to set up that first, second or third mortgage, look to MySecondMortgage.ca to find the best mortgage broker for you.