International Business

Taking Out a 2nd Mortgage in Toronto

Finance is a daunting world for many people.  This is partly because of the fear of getting in too deep and not being able to maintain the payments.  IT is also often connected with a lack of understanding regarding the number of products available and the right one to apply for.  The high number of adverts which can be seen everywhere can also serve to confuse potential customers more as they all promise funds but hide the less enticing details in the fine print.

Many people prefer to use the services of a reputable broker, such as OE Mortgage.  Firms like this can deal with all the relevant finance companies and locate the best possible deal for you without you needing to concern yourself with all the tiny elements.  A good broker will be able to assess your current income and the equity available in your house to confirm if your best approach is to remortgage your current home or to take out a second mortgage on the new property.  The advantage of a second mortgage is that it should not place your first property at any risk if you do struggle with the repayments.  A remortgage can leave you vulnerable if you struggle with the payments.

A mortgage broker will also be able to direct you to the best potential lenders for your particular needs.  This can vary depending upon the amount of credit you need, your current financial situation and even the long term purpose of your second property purchase.  All these factors can be assessed and, providing you are honest with your broker, result in a simplified application process which is almost guaranteed to result in the right response.

There are of course alternatives to using a broker to locate your 2nd mortgage in Toronto:

Internet

Most lenders now have an online presence and you can quickly visit their website and enter your details to obtain an initial decision.  It is important not to complete a full application with every lender as this can affect the credit you are offered.  Unfortunately this process is exceptionally time consuming as you need to visit every site and then enter the same information in again and again; on different web pages.  There is also a risk of identity theft if you enter all your information into a bogus site or one which is phishing for information.   Caution is essential.  This process can result in lower rates but this is rare; your broker fee is paid by the loan company which means there is no discernable difference to your loan.

High Street

It is also possible to visit individual lenders in person.  There are still many financial institutions which keep a physical presence, although these tend to be the mainstream lenders which may not suit you if you are after a specialist deal.  Again, this process is incredibly time consuming and can result in an n unsatisfactory response if you have targeted the wrong firms.

The easiest approach is via a broker you trust. Their systems are designed to deal with multiple lenders and their knowledge can be invaluable.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

To Top