These are mortgage experts, whose main duty is to connect consumers with loan lenders. The main aim of a mortgage broker in Stratford is to connect their clients with banks or other lenders willing to offer them the best solutions. Most first mortgages in Stratford are given by banks without the involvement of mortgage brokers. The mortgage industry in Stratford grew to serve the needs of clients who wee turned down by banks. Banks have a strict mortgage approval process, which requires applicants to have a credit score of 600 points or more. This leaves out many residents who must go out in search of alternative financing solutions. Most mortgage agents and brokers in Canada exclusively connect their clients with private “non-bank” lenders. Our mortgage brokers in Stratford focus only on private lending services targeted at people who can’t go for bank loans.
Mortgage Broker Services and Mortgage Broker Store’s Focus
The ordinary mortgage broker in Stratford primarily focuses on services associated with setting up a mortgage. They can consult with the client on options and request quotes from different lenders before then deciding on the best one. Mortgage brokers have much knowledge of the industry, which goes a long way in getting clients the best terms and conditions on a mortgage.
Our mortgage brokerage is licensed to deal with mortgages in Stratford and Mortgage Broker Store offers a few niche products including:
- Second Mortgages
- Stopping Power of Sales
- Home Equity Loans
- Stopping Foreclosures
- Private Lender Mortgages
- Bad Credit Mortgages
Mortgage Broker Store experts have been in the business of offering alternative financial solutions for more than 7 years. They are under principal broker Ron Alphonso, a renowned expert in Ontario. He has been on several media outlets including Toronto Life and Toronto Star among others on our media page.
In addition to Stratford, our mortgage brokerage offers services in other cities and towns around Ontario.
Comparing Mortgage Brokers with Mortgage Agents
There are clear differences between them but many people assume mortgage brokers and mortgage agents to mean the same. While both experts can sell mortgages, only the mortgage broker can open a mortgage brokerage in Stratford or other parts of Ontario. The brokerage can have more than one agent but the man in charge is known as the broker of record or principal broker. They are in charge of all documents and must ensure that regulations are followed.
Comparing Mortgage Brokers with Banks
In Canada, banks have historically been the main mortgage providers. Today, though, there are more mortgage brokers, offering more financial solutions than banks can. Many brokers specifically offer non-bank mortgages because they are able to negotiate reasonable rates. Those who have been rejected by banks make up the most of a broker’s clients. Banks still remain as the main mortgage providers but the use of mortgage brokers is certainly on the rise. Toady, brokers have provided 40% of initial mortgages and 45% of loans for people buying their new homes. If the trend continues, mortgage brokers will soon take over as the leading providers of mortgages.
Mortgage Broker Fees
Rates differ according to the clients circumstances but generally, those who are approved for bank loans do not need to pay upfront. The banks pay mortgage brokers in such deals as soon as the mortgages closed. The people after private deals have to pay some fees upfront to the lenders, brokers or both depending on prevailing circumstances. The minimum is $2000 but fees often increase with the revelation of legal issues like divorce or inheritance facing the lender. The money charged is used to pay real estate lawyers, broker staff and appraisal among other professionals required in processing the mortgage.
Mortgage Broker Licensing for Stratford
The Financial Services Commission of Ontario must license mortgage brokers in Stratford so that they can carry out legitimate business. To be licensed in Ontario demands that you live and work for a licensed mortgage brokerage in the province. Before getting the license, mortgage brokers start as a mortgage agent and maintain the license for two years. Then one must pass the FSCO approved Mortgage Broker Education Program before getting the much-desired mortgage broker’s license.