OPTION1 MORTGAGE & FINANCIAL PRODUCTS
We have access to all the major mortgage lenders in Ontario so we can offer you the best finance rates on a wide range of mortgage services, including home equity loans, refinancing, home purchase loans, renewals, debt consolidation and private mortgages. We can help you with your mortgage, mortgage insurance, life insurance, critical illness insurance and small group insurance.
We have helped many ‘difficult to finance‘ clients who thought it would not be possible to get a mortgage in Ontario. We have many years experience working in financial services and we know how to get results.
WE OFFER MORTGAGE SOLUTIONS IN ONTARIO
If you’re thinking of moving to Ontario, you can learn more about Ontario here.
Call 800-722-7172 or use our 30 second form for a free consultation.
We can help you with mortgages, mortgage insurance, life insurance, critical illness insurance and small business group plans.
The number of choices available to finance a mortgage in Ontario is overwhelming. There are now more lenders than ever before yet the average borrower has no knowledge of them. Please take a moment to review the information below to get a better understanding before you sign on a dotted line.
Did you know that many Canadian Banks no longer offer standard mortgages? That’s right, most major banks now only offer collateral mortgages.
COLLATERAL MORTGAGES vs STANDARD MORTGAGES
Most consumers assume that a mortgage is a mortgage. That was a fair assumption, until about 2010. In the past, mortgages in Ontario were always registered as standard charge mortgages unless one was applying for a Home Equity Line of Credit (HELOC).
But in 2010, a few banks started to register mortgages as collateral charge mortgages rather than standard charge mortgages. In fact, a number of banks in Canada no longer offer standard mortgages at all.
So, what’s the big deal? What’s the difference?
With a standard mortgage, only the amount being borrowed is registered as a loan. So, if you borrow $200,000 on a $250,000 home, a mortgage is registered in the amount of $200,000 and you have $50,000 of ‘free’ equity in your property.
If you decide to apply for credit or another loan somewhere else, you have this $50,000 of equity to show on your balance sheet.
Collateral mortgages register the loans at up to 125% of the total value of your home, regardless of the amount being borrowed. That same $200,000 loan is registered as a collateral charge of up to $312,500. Yet, you only borrowed $200,000.
In effect, this collateral charge mortgage is tying up your existing $50,000 of equity and any potential increase in equity, should the value of your home value go up.
Do you see where this could be a problem? Find out more about collateral mortgages here.
Call Option1 Mortgages for free advice before you sign on a dotted line
Be an informed consumer. We can ‘shop’ for the best rate and the best terms so you don’t have to. Most applications can be processed by phone and email for your convenience, or we can meet if you prefer.
INDEPENDENT MORTGAGE ADVICE
Option1 Mortgages is part of a team of independent agents and brokers. We don’t work for any bank or finance institution. We work for you.
Whether you are purchasing a home, refinancing your mortgage, obtaining a home loan or switching lenders, we have access to many lenders and the best mortgage rates and products in Ontario.
Our mission is to simplify the process for you and to give you straight talk about your choices and provide you with the best rates and terms.
Whatever your financial product needs, we will make the entire process easy.
Call (800) 722-7172 or use our 30 second form for a free consultation.
TEAM APPROACH FOR THE BEST SOLUTIONS
Our team approach gives you the best possible mortgage options in Ontario:
- a local agent or broker to give you personalized service and expert advice;
- a team of managers and support staff to speed up the process and minimize our wait time;
- a wealth of knowledge and experience to draw upon for even the toughest to place mortgages;
OWNING REAL ESTATE TO BUILD WEALTH – SOME EXAMPLES
TORONTO REAL ESTATE MARKET
Many people approaching retirement may not have done so well with many investments in the past decade. But real estate in Canada has enjoyed an enormous boom, especially in larger cities like Toronto.
Owning real estate has allowed many long-time homeowners to build significant wealth without really trying. That can give you more options in retirement.
BARRIE REAL ESTATE MARKET
Even in medium sized cities like Barrie, real estate has increased in value considerably compared to other safe investments. Once your home has gone up in value, you could add to your cash savings by downsizing or relocating. Many retirees are selling their homes in cities like Barrie and Toronto to move into lower cost communities in Central Ontario.
MIDLAND REAL ESTATE MARKET
For example, you can buy a brand new 1,800 sq. ft. bungalow in the outskirts of Midland for about $320,000. Compare this to what a similar home would fetch anywhere in the GTA and you can easily see where home ownership can be a big help in your retirement.
RETIREMENT OPTIONS FROM OWNING REAL ESTATE
The equity in your home can also serve as a back-up plan in case you run low on savings in your retirement years. If you stay in your home, you can cover essential expenses by borrowing against it with a reverse mortgage or home equity line of credit. Obviously, this should only be considered as a last resort.
If the time comes that you can no longer stay in your home and you need to move into a retirement home, the proceeds from selling your house can foot the bill for years.
And, if you don’t need to touch the equity in your home, it can provide a great legacy for your kids or be a wonderful donation to some charity of your choice.
MORTGAGE RATES ARE STILL VERY LOW IN ONTARIO
If you’re thinking of buying a home or refinancing your home in Ontario, it’s still a good time to get financing.
Canadian rates are still very low and the housing market in Canada is resilient, comparatively speaking.
Call (800) 722-7172 use our 30 second form for a free consultation.