A mortgage broker in Kitchener is an important bridge between consumers and mortgage lenders. The main aim of a mortgage broker is to help get the message across to lenders that there are clients in need of the loans they provide. Banks are strict about the borrower’s credit and will never loan to anyone below 600 points. Most people who fall below this threshold must look for alternatives through mortgage brokers who are ready to deal with people who were rejected by traditional lenders like banks and credit unions. Our mortgage brokers in Kitchener specialize in offering loans to these people who find it extremely hard to find appropriate financial solutions.
Our Mortgage Brokerage’s Focus and Services of Mortgage Broker
A broker generally assists with the mortgage processing by consulting with clients to understand their needs before looking for available offers. Based on the offers received, a mortgage broker goes on to recommend the best loans. These professionals rely on knowledge gained over the years to negotiate the best rates and terms for different clients.
We are a licensed mortgage brokerage to operate in Kitchener and neighbouring cities. In recognition of clients’ diverse needs, we have some special services including;
- Stopping Foreclosures
- Bad Credit Mortgages
- Private Lender Mortgages
- Debt Consolidation Loans
- Home Equity Loans
- Stopping Power of Sales
- Second Mortgages
Our mortgage broker store staff have been offering alternative services in Kitchener and other cities in Ontario. The principal broker here is Ron Alphonso, a real estate authority figure in Country. The news media outlets often consult him as they seek to understand happenings in the market. Toronto Life and Toronto Star are the popular places he has been and you can see more at our Media page.
Mortgage Agents and Mortgage Brokers
Mortgage brokers and mortgage agents both have a duty to sell mortgages. Only the mortgage broker can open a brokerage firm as the principal broker. The broker of record as they are also known must ensure that mortgage rules are adhered to and that all documents are precise. In simple terms, the principal broker is in charge and responsible for all mortgage agents working for him.
Mortgage Brokers Versus Banks
For many years throughout Canadian history, banks have led at issuing first mortgages but that is about to change if trends continue. Mortgage brokers gained popularity as people sought alternative financing solutions, which they could not get from banks. Mortgage brokers of today strive to connect people who couldn’t access bank loans with creditors who are not governed by the same rules. Non-bank lenders as they are known help many people to actualize their financial goals by leveraging assets they already own. It is for this and other reasons that mortgage brokers have managed to arrange 40% of first mortgages and 45% of loans for new homebuyers in Kitchener city.
Fees Charged By Mortgage Brokers in Kitchener
The money a client will pay a mortgage lender depends on their current situation. Generally, they do not charge the person who meets banks’ strict loan approval criteria, knowing that the lender will pay their fees directly as soon as the loan against property closes. Individuals after private lender mortgages must pay $2000upfront to start the mortgage processing. Legal issues like inheritance and divorce lead to higher charges as it increases the risk for lenders. Depending on your circumstances the lender, mortgage broker or both parties may decide to charge upfront fees. The money is needed to pay real estate lawyers, property appraisers, broker’s staff among other professionals required in arranging a suitable mortgage. Most of a mortgage broker’s clients are people with bad credit, which makes it important for lenders to take protective measures like charging high upfront fees on mortgages.
Mortgage Broker Licensing
Mortgage Brokers in Kitchener must have a license from the FSCO or Financial Services Commission of Ontario. Eligible parties have held a mortgage agents license for two years and served in a licensed mortgage brokerage. Then they can sit the Mortgage Broker Education Program to get the license after the Financial Services Commission of Ontario has established that they truly reside in Ontario. With a mortgage broker’s license, a professional can sell mortgages in Kitchener and even open a mortgage brokerage.