Posted on
March 15/2021By
northwood
In Canada, homebuyers have a variety of mortgage options, including a high-ratio or a low-ratio mortgage. Understanding the difference can be key to how much you pay for your home over the long term. What is a high-ratio mortgage? A high-ratio mortgage is one where the buyer pays less than 20 percent of the purchase price of the home as a down payment. It is called a high-ratio mortgage because of the difference between the mortgage amount and the purchase price, also called the loan-to-value ratio. A low-ratio mortgage is one where the buyer puts down more than 20 percent…
Posted on
February 15/2021By
northwood
Canadian homebuyers can easily be confused by the number of different options and types of mortgages. In particular, in the banking industry, there are mortgages that are called conventional mortgages, which are different from high-ratio mortgages. What type of mortgage is best for you and which one you qualify for depends on your down payment and how much you are going to borrow to buy your home. Because of the variety of options, it is important to talk to a mortgage specialist who can help you decide the best loan for you. A Conventional Mortgage Homebuyers who are paying 20…
Posted on
February 08/2021By
northwood
If your business is looking to expand, you may be in need of a mortgage to help pay for a new space. For building purchases that are larger than average, such as warehouses, storage units, and manufacturing plants, you’ll need to apply for an industrial mortgage in Toronto. What is an industrial mortgage? An industrial mortgage is a financial loan that has been created to cover large building purchases where manufacturing or other related work happens. It differs from a commercial mortgage, as an industrial mortgage is not used to buy a property that has housing units. A commercial mortgage…
Posted on
November 30/2020By
northwood
Building up equity in your home is one of the advantages of owning property. Another benefit is being able to use the equity sooner rather than later. That is why some homeowners opt for a second mortgage, which allows them to access money for projects or other activities without having to sell their home. What is a second mortgage? A second mortgage is a loan that homeowners can apply for that uses the property as collateral. It can give a homeowner access to funds without having to sell their home. It is called a second mortgage because, in case of…
Posted on
November 16/2020By
northwood
Getting a mortgage is one of the biggest financial decisions you’ll make. To improve your chances of getting your mortgage application approved, there are some common mistakes that you should be aware of. 7 Common Mortgage Mistakes As a homebuyer, it is important to understand how both mortgages and the application process work. This knowledge will equip you to reach your home-buying dreams. It is also vital to understand how to avoid the most common mortgage mistakes, including: Not getting pre-approved for a mortgage. Taking the time to get pre-approved for a mortgage is a valuable step to homeownership. It…
