Refinancing with Mortgage Lenders in Ontario
By : Radu Arvatescu
The equity you build in your home is a powerful asset. If you’re nearing the end of your mortgage term, or if you already own your home outright, a remortgage could be used for necessary home improvement, debt consolidation, or even sending your children to college in Canada or internationally.
Choosing to leverage the equity in your home is a big decision. A remortgage will mean paying off the loan, which could limit your spending in the near and mid-term future.
There are costs to consider when you remortgage a house, and it’s not something that you should rush into. Our Ontario brokers are standing by to help you explore your options with private lenders in Toronto, giving you the best options to refinance, borrow, or even pay off a home loan faster.
TABLE OF CONTENTS
- Why Refinance Your Home?
- Second Mortgage in Toronto for Home Improvement
- Second Mortgage in Toronto for Debt Consolidation
- Poor Credit Debt Consolidation Lenders
- Lines of Credit and Using HELOC to Pay Mortgage Faster
- Home Equity Lending – What it Means
- Getting a CHIP Reverse Mortgage
- How to Pay off Your Mortgage Faster with Private Lenders in Toronto
Your home is one of your biggest investments. Over time, it becomes your most valuable asset. You could choose to remortgage a house for several reasons. How these relate to you will depend on your unique financial situation and long-term goals.
- Remortgage a House for a Better Interest Rate – One of the most common reasons to refinance is to take advantage of lower interest rates. If you purchased a home with a mortgage five, ten, or even fifteen years ago, you’re likely paying a higher rate than today’s fixed and variable options. Refinancing could give you access to the best mortgage rates in Ontario, allowing you to pay off a loan faster, or have more cash available for other financial commitments or lifestyle purchases. It’s not just about saving money. When you remortgage a house, you will also start to build your equity faster. You could choose to make the same repayments, but with less interest, your equity would build quickly. There are costs involved with refinancing, so it’s something that you need to consider carefully. Generally, it’s advisable to refinance when your new interest rate will be at least 1% lower than your current one.
- Pay Off Your Mortgage Faster – If you’re paying for a mortgage with a higher rate than today’s average, it will take longer to pay off your loan. Many people choose to remortgage a house for the simple fact that it can help to pay off a home faster. When your mortgage is paid, you will have complete equity in your home, allowing you to leverage it for loans or other financial tools. Or, you could choose to sell the home after paying the mortgage, allowing you to collect the appreciation as well as everything that you have paid into the home.
- Changing the Structure of Your Mortgage – The best mortgage rates in Ontario today could be more compelling than what you originally signed for. If you chose a fixed rate mortgage when you first moved into your home, then you will miss out on today’s interest rates. You could refinance to change to a variable rate mortgage, allowing you to take advantage of today’s rates, as well as potentially lower rates in the future. Of course, this does come with some risk, as the market could strengthen, sending interest rates higher. The opposite could also be true. You may have a variable rate mortgage and want to lock in the best mortgage rates in Ontario today. Refinancing to a fixed mortgage would give you the benefit of today’s low rate throughout the rest of the term.
- Debt Consolidation Loan in Ontario – If you have debts outside of your mortgage that are becoming hard to manage, you could consider refinancing to pay for these debts. This form of consolidation will leverage the equity you have in your home, allowing you to clear old loans and credit cards. With your new mortgage, you will have just one easily manageable payment. While this is useful for many individuals and families, you must consider the downsides of a debt consolidation loan in Ontario. If you refinance your home to pay off debt, then all of the risk will be tied to your most valued asset. If you fail to make payments on your new mortgage, you could potentially lose your home.
These are the four most popular reasons that people leverage the equity they have in their homes. Mortgage lenders in Ontario can provide an efficient way for you to refinance so that you can better meet your current financial needs.
It’s important to think long term and understand that there are other options outside of traditional refinancing. HELOC and credit are available from the best home equity line of credit lenders.
With a mortgage broker, you will be able to consider all of your options with private lenders in Ontario. If you are thinking about refinancing or leveraging your home equity, talk to us today to begin the consultation process.
Your finances could be in good shape and you may already have the best mortgage rates in Ontario. Another reason to consider refinancing is to improve your home.
Whether you need to make repairs, perform essential maintenance, or add value with renovations and remodeling, a second mortgage in Toronto could make it possible. This type of loan allows you to borrow against the value of your home. The most common options are home equity loans and home equity lines of credit.
You can receive the proceeds of a second mortgage in Toronto in the form of a line of credit or a lump sum.
- Lump sum is the most common type of second mortgage in Toronto. This is a one-off home equity loan where you will be able to take a set amount and use the funds for home improvement or anything else that you’re planning. The money doesn’t strictly need to be used for home improvement, although this is often the best way to use the funds because you can potentially increase the value in your home and make a profit at resale.
- You could also choose a line of credit, where the loan will create a pool of money that can be drawn at any time. Private lenders in Ontario often place restrictions on lines of credit. For example, there can be minimum withdrawals with some loans. It could be hard or even financially dangerous to manage a line of credit if you don’t already know where you will spend the money.
If you need to make urgent home improvements, if you want to modernize, or if you are looking to increase the value of your home before sale, you can get the best mortgage rates in Ontario from a local broker. We will work with you to learn about your needs, how you want to spend your equity, and will find a loan that suits you best.
Having debt spread across different lenders can make it hard to manage your finances. In addition to the difficulty of tracking different debt sources, the cost of debt can increase when you have multiple open accounts. Credit cards and loans that are unsecured often attract high interest, which can add up over the months and years.
A debt consolidation loan in Ontario is an ideal way to reduce your debt and make it more manageable by combining it under a single loan. If you have a home with enough equity in it, private mortgage lenders in Torontocould allow refinancing so that you can pay existing debt.
The advantages include:
- Lower monthly payments as you work on reducing your debt.
- Less interest paid over the lifetime of your debt.
Most borrowers choose a line of equity when repaying debt. This will allow you to borrow from a set amount, and you’ll only pay interest on the money that is withdrawn.
Because there are various options available for a mortgage debt consolidation loan in Ontario, it pays to work directly with a broker. You’ll have access to the best home equity line of credit lenders, making it easier to get on top of your debt with the lowest possible rates.
If you’re interested in a debt consolidation loan in Ontario, you can talk to one of our lending experts today.
If you have bad credit or a less than stellar credit history, it can be hard to find a debt consolidation loan in Ontario. We make this easier by connecting you with the best private lenders Ontario. We do the legwork for you, taking your financial situation into account, and then working with our network of lenders to ensure that you prequalify.
With a brokerage, stress is minimized, and you’ll have peace of mind with a prequalify mortgage. In most cases, we will be able to provide several of the best private mortgage lenders in Toronto, so you will be able to choose a loan that best meets your needs.
Bad credit can arise from missed payments, old credit accounts, and even inaccurate records. We can help you to improve your credit with simple advice that helps you to restore one of your most useful financial tools. We can connect you with poor credit debt consolidation lenders with more flexible terms and qualification criteria than banks and major lenders.
Our experience and our large network of private mortgage lenders Toronto will also ensure that you get the lowest mortgage rates in Ontario. If you are concerned that a debt consolidation loan would be unaffordable, you can have confidence knowing that we are looking out for your needs. We aren’t lenders, and our obligation is to you, not the big banks or lending houses.
Contact us today and see how you could restore your credit and streamline your finances with poor credit debt consolidation lenders.
With a standard home equity loan, you’ll receive a lump sum that you can use to pay off debts, improve your home, pay for college tuition, or meet any of your other financial obligations. For many of our clients, home equity loans are perfect, especially because we can find the lowest mortgage rates in Ontario.
In most cases, a remortgage is used to clear debt, more easily manage debt, or pay for expenses that you can’t cover with your regular finances.
But, there’s a lesser-known strategy related to mortgage financing that can actually help you to pay off your home loan. Using HELOC to pay mortgage faster is an innovative solution that is quickly gaining traction in Canada.You could make this work with competitive rates from mortgage lenders in Ontario.
A HELOC is a special line of credit where you borrow against the equity of your home. You can get this type of financing even when you are still paying off your primary mortgage. This is where the unique strategy comes into play…
- Take out HELOC financing with the lowest mortgage rates Ontario.
- Use this financing to pay your primary mortgage in stages.
- Treat your HELOC account just like you would a checking or credit account. Deposit paychecks and extra funds
directly into the account.
- Continue to pay off your mortgage with the HELOC account still open.
Using HELOC to pay mortgage faster might seem like a roundabout way to clear your primary mortgage, but it is actually beneficial for several reasons. You’ll be leveraging your home equity to pay for your mortgage. The money that you use from your HELOC account is charged with very low interest rates, especially when compared to a credit card. By depositing paychecks directly into your HELOC, you’ll essentially be funding your own low-rate credit account that you can use for paying a mortgage and covering general expenses.
There are risks to using HELOC to pay mortgage faster. If you have a variable rate HELOC account, then an increase in rates could make this strategy unfeasible. There are some fixed-rate HELOC accounts available, depending on how much equity you have in your home and your credit standing.
You don’t need to commit to a HELOC right away. We can assist you with a prequalify mortgage so that you can see the rates and terms available, allowing you to make an informed decision.
To learn more about using HELOC to pay mortgage faster, you can talk to our experienced brokers today. We will take you through the process of paying your mortgage faster with the help of the best private mortgage lenders in Toronto.
Whether you are looking for poor credit debt consolidation lenders, private lenders in Toronto for a HELOC loan, or anything in between, you will be borrowing against the equity of your home.
Over time, you build equity in your home as you pay your mortgage. Equity also increases as your home value goes up.The more equity you have in your home, the more you can borrow for debt consolidation, a HELOC loan, refinancing, or a second mortgage. The best home equity line of credit lenderscan create options for you.
You’ve spent years building your equity so why not take advantage of it? With our brokers, you can get a prequalify mortgage to meet any of your financial needs. Our large network of private lenders in Ontario allows for the lowest mortgage rates in Ontario. Contact us now to leverage your equity in a way that helps you to achieve your goals.
It takes research and experience to find the best home equity line of credit lenders and mortgage providers. Let us do the work for you and enjoy a streamlined process.
If you’re approaching your golden years and have built a significant amount of equity in your home, it could be time to consider a CHIP reverse mortgage. This is another valuable financial tool that leverages the money you’ve put into your mortgage over the years.
Private lenders in Toronto offer reverse mortgages to applicants aged 55 years and over.
CHIP prequalify mortgages are typically used to supplement retirement savings and social benefits. You can opt to receive regular payments sourced from the equity of your home, allowing you to enjoy a comfortable retirement.
There are specific homeowner obligations that must be met to be eligible for a reverse mortgage:
- Any money owing on an existing mortgage must be covered by the money being borrowed through a reverse mortgage.
- Liens must be cleared before applying.
- Taxes must be paid regularly with no outstanding payments.
- The home must be insured.
- The home must be in good condition at the beginning of and throughout the lifetime of the reverse mortgage.
If you feel that your retirement savings aren’t enough to live comfortably, then it’s worth considering a reverse mortgage. There are risks involved. Borrowing too much could leave little equity in the home to be left to your family members.
Private lenders in Toronto only offer reverse mortgages to borrowers who understand the conditions of the loan and who have consulted with their family and a mortgage professional. If you want advice or have questions about reverse mortgage specifics, you can contact our private lenders in Ontario brokerage today.
If you’re ready to refinance, or even if you want to pay more of your mortgage before leveraging your equity, our brokerage can help. To secure a prequalify mortgage, it pays to have as much equity in your home as possible. Some simple strategies can help you to pay off your mortgage faster.
- Make extra mortgage payments whenever possible. Paying a mortgage early will save you thousands in interest fees. Quarterly or yearly bonuses and unexpected residual income should be diverted to your mortgage.
- Quit eating out. It sounds simple and maybe even unnecessary, but the best mortgage lenders in Ontario will tell you that reducing your spending on takeout and restaurant dining will contribute significantly to your mortgage. Spending $50 a week on food that you could have made at home will cost you $2,600 per year. The average person spends more than $10 per day on food and coffee. Just imagine what you could be putting back into your home.
- Consider refinancing. If you are paying higher rates than today’s fixed and variable rate mortgages, you can remortgage for more affordable repayments. Or, you can keep the payments the same and your home will be paid off faster.
- Work with a broker when refinancing. You’ll get access to better mortgage lenders in Ontario, as well as the lowest mortgage rates in Ontario. Saving 1% – 2% on a refinanced mortgage could make a significant difference over the lifetime of the loan.
- Consider downsizing if you no longer need a large home. Downsizing could allow you to use the proceeds of a sale to pay for a new home in full, or, you could end up with a smaller mortgage that can be paid off quickly.
If you want to clear your mortgage debt and enjoy a home where the equity is all yours, our brokerage can help. With solutions ranging from low rate mortgages to HELOC loans, you will be better prepared to meet your financial goals and obligations.
We work with poor credit debt consolidation lenders, the best home equity line of credit lenders, and a range of private mortgage lenders in Toronto. With our network, we can find unconventional loans and mortgages that big banks don’t offer.
Take control of your finances and your future by talking to the best mortgage brokerage in Ontario today.
Lowest Residential Mortgage Rates in Canada*
|Term||OUR RATE||Bank Rate|
|3 Year Fixed/ 25 yrs||5.04%||5.39%|
|3 Year Variable/ 25 yrs||5.60% Promo||5.95%|
|4 Year Fixed/25 yrs||4.89% Promo||5.04|
|5 Year Fixed/ 25 yrs||4.69% Promo||5.04%|
|5 Year Variable/ 25 yrs||5.70% Promo||6.45%|
|5 Year Fixed/ 30 yrs||4.60% Promo||5.14%|
|5 Year Variable/30 yr||6.20%||6.55%|
|4 Year Fixed/30yr||4.64% Promo||5.14%|
|3 Year Fixed/30yr||4.80% Promo||5.24%|
|**NEW RENTAL 5 Year Fixed /30yr||4.75% Promo||5.19%|
|** NEW RENTAL 3 Year Fixed /30yr||4.90% Promo||5.29%|
Updated: May 26 , 2023
* Current promotion rates may provide an additional 0.05% discount or may be anytime discontinued at the Lender discretion . Rates may vary between geographic regions and the posted rates on this website may not be available in your area. Please contact our MCI office for more details and current promotions.
LOWEST REGULAR RATES IN CANADA*
* Current promotion rates may provide an additional 0.10% discount. Rates may vary between geographic regions and the posted rates on this website may not be available in your area. Please contact our MCI office for more details and current promotions.