Understanding the differences between private mortgage lenders and banks

Before you borrow against the equity in your home or buy a home you need to understand the differences between private mortgages and bank loans. Here were going to talk about what makes each different, how you can tell which one is right for you, and how we as Toronto mortgage brokers can help you get the best deal. Since most everyone needs to tap their home equity at some point, it’s important to understand the differences, the benefits, and pitfalls that each type of mortgage and lender offer.

Get your own credit report

When you come to us as your Toronto mortgage broker we’ll need to pull your credit – but if you ever recent copy of your credit report on you, we can usually waive this fee. Even if you don’t just work with us, the prospective lender that you’re approaching will still need to see your credit report. By having recent copies available, you’ll be able to skip over that step; sometimes they’ll still run their own check though, and you’ll get to pay it. How fun.

What is a mortgage broker?

You need to know what we do before you hire us! As Canada mortgage brokers you’ll get help figuring out which lender will give you the best mortgage. We don’t work for the lenders, we work for you; instead of having to worry about a loan officer chasing a commission, you’ll have a dedicated and courteous professional that’s here to help you get the most for your money. Private mortgage lenders can give you a great deal, but we’ll work with conventional lenders like banks too to make sure you’re getting the best rate.

Why you want to work local

The last thing you want to do is go to another city or province with your lending – you need someone local that understands how to move your loan. Someone in another province may not understand why you need extra for the high Land Transfer Tax. You will just need to have someone that’s on your side that really understands your needs in Toronto and Ontario – especially when it comes to connecting with local lenders. We know all the right private mortgage lenders and conventional bank lenders that give the best rates. Why guess when you can get it right from the start?

Compare and Save

Comparing private mortgages and conventional mortgages helps you always get the best rate. You don’t want to end up paying more than you have to; after all, the more you can save now the more you’ll save later. It’s time to take control of your financial destiny, it’s time to understand where you stand in the lending game. When you work with one of our Toronto mortgage brokers you’ll get all the help you need to save buku bucks on your next mortgage. Call us today and see what we can do for you – while banks are great, private mortgages can be better.

Danny Papadopoulos is an experienced agent of Mortgage Central and an avid blogger for Homebase Mortgages. HBM is a Toronto mortgage broker that provides home mortgages, mortgages for the self-employed, home equity loans and lines of credit, debt consolidation, private mortgage and second mortgage lending. To learn more about our great rates on private mortgage visit: http://www.homebasemortgages.ca/private-mortgages/