Call or write. Buying, refinancing or building, the property, the amount, and when you need the funds: the purchase date or when an existing loan comes due. You don't need any documents yet.
Private mortgages get you through. You need a way out.
According to Ontario's Financial Services Regulatory Authority, a private mortgage is supposed to be a short-term solution, usually one to two years. It can be easier to get, but often costs more in rate and fees. We look at these loans too, in Québec and Ontario, and at how to move back to a bank or credit union afterwards.
Mortgage broker since 2020 · AMF licence 237729 · MA Mortgage Architects inc.
Private loan, alternative loan
According to Ontario's regulator, people who can't qualify at a bank or credit union may turn to an alternative or private mortgage. Not every lender is a bank: there are also finance companies and mortgage investment companies, and the type of lender affects the rate. You don't need to pick a loan type before talking to us.
When to call us
- Your bank said no.
- Your income is hard to prove on paper.
- The building needs work before a bank will finance it.
- You need to complete a purchase before another loan is in place.
Before you sign.
The lender looks mostly at the property. A private lender often lends on the property's value rather than your income.
The balance doesn't always go down. Many private loans are interest-only: you pay the interest, the principal stays the same.
Fees add up. Late payments, lapsed insurance, property upkeep: fees can be charged.
You need an exit. Plan from the start how you will replace this loan: a sale, a bank refinance once the work is done, or better-documented income.
How the broker is paid. According to the AMF, private lenders often pay the broker little or no commission. The broker may then charge the client a fee, which must be explained before work starts.
Let's have a discovery call.
We look at the project, even if the file is incomplete.
We tell you whether a bank or credit union can lend in your timeframe. If not, why a private loan, and on what terms.
We present the complete file to lenders whose criteria fit.
We follow the application until funding, then plan the move back to a bank or credit union with you.
Private mortgage questions.
What does a private mortgage cost?
Often more than a bank loan: a higher rate, plus fees and extra conditions, according to Ontario's regulator. The exact cost depends on the lender and the property. We show it to you before you sign.
Is it easy to get a private mortgage?
It can be easier than at a bank: a private lender often lends on the property's value rather than your income.
Does the first contact commit me to borrow?
No. The form asks us to get back to you. It isn't a loan application.
Is there a minimum amount?
No.
Related financing
Let's talk about your project.
Where it is, how many units, and what you want to do: buy, refinance or build. We call or email you back. You can also call us yourself, any day from 8 a.m. to 10 p.m.