Mortgage Tools
Mortgage Financing Options
Mortgage financing comes in so many varieties that today's borrowers have numerous options, and you can easily find a mortgage product that is specifically tailored to your budget, lifestyle, and goals. The accredited mortgage professionals at Canadian Mortgages Inc. have networks of private, conventional, and non-traditional lenders that offer a huge array of these mortgage financing solutions, including:
- Fixed and variable rate first and second mortgages
- Private and interest-only mortgages
- High ratio first and second mortgages
- Home equity loans and lines of credit
CMI mortgage brokers have the experience and training necessary to find you a mortgage product that is suited to your needs, and they can negotiate the best terms, conditions, and rates, regardless of your financial history, current economic situation, or the type of property you want to finance.
Choosing Between Fixed and Variable Rate Mortgage Financing
A basic decision that comes with mortgage financing is whether you want a fixed or variable rate mortgage. A fixed rate mortgage is easy to qualify for, but will generally have a higher interest rate. This type of mortgage offers the advantage that you will always know the exact amount of your regular payments, because the interest rate on the mortgage remains constant. A variable (or adjustable) rate mortgage, on the other hand, has a fluctuating interest rate, meaning your regular payments will not remain the same.
Private, Interest-Only, and High Ratio Mortgages from CMI
Borrowers who have encountered financial difficulties in the past or who do not have an excess of disposable income have found great advantages with private, interest-only, and high ratio mortgage financing. As an independent mortgage broker, CMI works with over 250 lenders, some of whom are private individuals or institutions willing to finance high-risk borrowers, or applicants who have been declined by traditional lenders.
With interest-only mortgages, only the interest is payable each month, which means that regular payments are significantly lower than with conventional mortgage financing. This type of loan product often comes in the form of a line of credit, and is ideal if you want to purchase a home, but are:
- Self-employed
- On a strict budget or have a fixed income
- Only receiving seasonal or temporary annual income
Similarly, a high ratio mortgage can be a suitable option if you do not have a great deal of savings. While conventional mortgages typically require a down payment of 20%, private brokerage firms like CMI can find you mortgage financing with a down payment as low as 5%, and in some cases can even get you approved for a mortgage worth 100% of the home's value.
Mortgage Financing with Home Equity Loans and Lines of Credit
Home equity loans and lines of credit are two mortgage financing options that are calculated based on the portion of your home that you actually own. Home equity loan products are often used as second mortgage financing options, but since they have lower interest rates than personal loans and credit cards, they are also ideal for:
- Home renovation projects
- Investment portfolio expansions
- Debt reorganization and consolidation
Home equity loans and lines of credit offer borrowers and homebuyers affordable ways to reach their goals, and private mortgage firms like CMI can always get you the best rates and terms on the market, no matter what mortgage financing solution you choose.
