FAQ’s – Mortgage Broker

As mortgage brokers or (mortgage specialists), we work for you, not the bank. Our knowledge & expertise is used for the sole purpose of getting you the mortgage that best fits your needs. Whether it’s the best possible rate, or the most diverse pre-payment privileges, we work hard to get it for you.

With your good credit, our service is FREE, the banks and lenders pay us for the referral. You get the best rate, best service, best products, and it’s all FREE to you…. that’s right, FREE!

Over a 5 year term on a $100,000.00 mortgage that means over a $9,000.00 SAVINGS!

We get wholesale discounted rates from most all of Canada’s top chartered banks like… Scotia, TD, BMO, ING Direct and more. We also have access to over 50 others lenders that have varied criteria as far as income and minimum credit requirements that has allowed us to say “APPROVED” to over 93% of our clients.

When working with a mortgage broker only one credit report is used. If you were to apply to multiple banks or lending institutions for the best rate for your mortgage, each lender would do a credit check. This may lower your credit score. A lower credit score could mean you may not qualify for the best interest rate possible with any lender.

We have flexible hours. Our mortgage specialists are available to meet with you at YOUR convenience, not ours. We are more than happy to sit down with you at our office or at your home or work, at a time that suits you best.

When a Quick Response Mortgage Specialist says your Pre-Approved, you really are. We take the time to get a full financial picture, and well as check your credit bureau so that once you’ve found that home of your dreams, there will be no surprise declines to pull the rug out from underneath you and prevent you from buying that home.

We use our computers to get you the best rates, not to answer our phones. When you call our office to speak with your mortgage specialist, you will actually speak with him/her or one of our team, instead of pushing numbers on your phone to try to get the information that you need. Even after you’ve moved in, we encourage you to call us when if you have questions or concerns about your mortgage.

FAQ’s – Closing Costs / Down Payment

Until recently, the minimum down payment required was 5% of the purchase price, but now it is possible to purchase a home with 0% down payment; all you pay is the closing costs.

These are costs that you will be responsible for to close your mortgage, which in the event of a purchase is usually equivalent to 1.5% of the purchase price. Closing costs cover legal fees, land titles registration, and any property tax disbursements that may be owing on your property.

FAQ’s – Default Insurance

Default insurance is mandatory insurance that you must purchase if you are looking to purchase your home with less than 25% down payment. This insurance must also be purchased if you are going to refinance your home for more that 75% of it’s value. This insurance protects the banks & lenders in the event of a default or non-payment of the mortgage.

Your mortgage specialist has the lender submit to the mortgage insurer and the premium is usually rolled into the mortgage so that you do not have those up front costs. The 2 main mortgage insurers are CMHC (Canada Mortgage & Housing Corporation) and Genworth Financial.

The insurance is a percentage of the mortgage amount that is based upon the amount of your down payment and your mortgage terms, it can be as little as 1% and as much as 2.95%.