If you want know how to get a second mortgage, you will need to understand what the lenders requirements are and where to find the lenders. Second mortgage lenders are usually private individuals that invest in mortgages within a certain geographic areas. Most lenders will lend between $20,000.00 and $200,000.00 and will invest in first second or even third mortgages. Private second mortgage lenders are an excellent alternative if you have been turned down by any of the major Canadian banks.
Many people require a second mortgage or to refinance their existing mortgage. A first mortgage is the most secure type of mortgage since it has first priority upon the sale of the property, a second mortgage is second in line for payment upon sale of the property. If the proceeds from the sale of the property is not enough to cover the second mortgage the lender may lose some or all of their investment.
Many people are not aware of their credit rating until they are turned down for a loan. Second mortgage lenders look at your credit rating as one component of your entire financial picture. Many second mortgage lenders consider the loan to value ratio to be the most important factor in determine whether you qualify for a mortgage.
During the inspection lenders with private finance are looking for any significant defects that could affect the value of the property such as a leaking roof or broken windows. Every homeowner should take some time to clean up their property inside and outside, putting a fresh coat of paint on the walls will show that the house is properly maintained. If the money is being used to repair or renovate the home show the private lender what work is to be done and how this work will improve the value of the property.
Call our second mortgage agents for a free consultation we can tell you if you will qualify for a loan. Our agents will arrange a private lender that matches your requirements and can provide the money when you need it. We strive to make the second mortgage lending experience as easy as possible with the least amount of stress as possible.