Consolidating debts, financing schooling or college tuition or financing home improvements are all unexpected financial expenses that can be solved by taking out a second mortgage. A second mortgage is a loan taken out on a property that is currently mortgaged by a primary home loan. Determined by the amount of equity in your home, or the difference between the value of your home and the outstanding mortgage balance, a second mortgage can be a powerful financial tool for a homeowner, with applications such as financing the purchase of an investment property or extensive home renovations.
With real estate sales activity increasing by 21.5% over last year, the average sale price for a home in North Bay has risen 3.5% from 2016, making now a great time to investigate getting a second mortgage in North Bay.
A mortgage broker can be an invaluable ally to any homeowner interested in investigating the possibility of a second mortgage. Working alongside homeowners to help navigate the complicated lending process, a North Bay mortgage broker will help find the most competitive terms and lowest rates possible.
Working as a private mortgage consultant, mortgage consultants are regulated, licensed industry professionals that assist homeowners with a deep insight into the local North Bay real estate and lending environment. Close connections with local and regional lenders allow mortgage brokers to leverage connections to save on lending fees and deliver one-on-one attention.
A private lender is often an attractive option for many homeowners seeking a second mortgage in North Bay. Defined as a non-institutional lender that is not associated with any bank, private lenders offer a number of unique advantages over traditional financial institutions.
The relationship-based nature of private lending, facilitated by a local North Bay mortgage broker, offers advantages such as easier qualification criteria that can take into the specific situation of a homeowner, which also offers a shorter approval process. Private lending is also great for “fixer upper” investment homes when a demonstrable return on investment is apparent.
A home appraiser is an essential part of the process of investigating the possibility of taking up a second mortgage. Engaged to provide an accurate and fair appraisal of the current market value of a property, a home appraiser is deeply embedded in the local real estate industry.
By conducting a full survey of the interior and exterior of a house and combining their observations with market insight, a home appraiser is typically engaged by the lender, tasked with determining the equity value of the home. By investigating an exhaustive list of factors such as structural integrity, material and quality of walls and interiors, amenities, upgrades and land value, a home appraiser develops a clear and precise picture of the current value of a home.
Replacing the original mortgage on a home with a new mortgage is known as refinancing. There are many benefits from refinancing a home, such as accessing better interest terms and rates or converting a variable rate loan to a fixed rate loan.
Refinancing a home, however, can be somewhat risky, dependent on a broad spectrum of factors that can be complex and difficult to understand. In order to ensure you’re making the best decision if choosing to investigate refinancing your home, it’s best to consult a professional mortgage specialist to determine if refinancing is the best choice.
Based on the shores of Lake Nipissing, North Bay offers idyllic lakeside views, a rich cultural history and a strong real estate market. Established in 1891, North Bay is roughly 210 miles north of Toronto and owes its origins to the development of the Canadian Pacific Railway, which began its westward expansion from what was then a small town in 1882.
Developing into a booming economic hub, North Bay now possesses a population of over 50,000 people and is ranked as the 93rd largest municipality in Canada. With origins in the lumber, mining and railway industries, North Bay is now a major university hub, home to Nipissing University and Canadore College.
The North Bay real estate market is currently experiencing a bull market, with average housing prices increasing from $232,534 in November 2015 to $233,933 in November 2016, a 3.5% year-to-date increase. Home sales have similarly increased by a massive 21.5%.
With over 136 new listing in the last market report commissioned by the Canadian Real Estate Association and an average inventory time of 6.2 months down from 9.8 months last year, the North Bay real estate industry is thriving, placing homeowners in a positive position to consider a second mortgage.