We want to give you a crash course on the Canadian mortgage market and what it is. We will also have some terms explained to you so that when you finally find an institution that is ready and willing to offer you a mortgage loan, you will be already in the know how.
When we talk about a mortgage, we are referring to the money that will be extended to you at interest for you to purchase your dream home or for you to purchase your dream office space. It could be used to refer to when you put your property in lien to secure some funding for it.
The lender is usually a financial institution defined as a bank or a credit union. It could also be a microfinance institution or a building society. The decision is completely yours when it comes to the kind of institution you will go with. All these can offer you mortgage on terms that are fixed or that you can negotiate through
Individuals and companies or businesses usually take out mortgages. It has not been limited to only an individual who wants to set up a home. Some business usually goes to a financial institution to secure office premises, or sometimes they put their premises or properties in lien to secure funding for their projects.
As we have mentioned before, financial institutions usually offer mortgages to their clients. You might, however, find some brokerage companies that represent these financial institutions and who can give you rates that have been personalized to your needs. You should, however, know that they are simply representatives of financial institutions.
Some brokerage companies deal only with a certain kind of financial institution. This means that they could be representing banks alone etc. you should find out what kind of institution your housing loans in Ontario represents so that you can be assured of getting the best deal in the market.
This is not a straightforward question, and it depends on you. The good thing about a mortgage broker is that they have been able to establish long-standing relationships with the institutions they represent and can, therefore, get you very good deals.
If you have some knowledge of how to navigate the real estate market and financial institutions, you might not need one, but they have proven to be of use
For you to get a mortgage, you will need to make an application with a financial institution that offers the same. You can do this directly or through a broker.