A mortgage loan is an excellent solution for people who want to acquire property or improve on the one they already own. But your mortgage loan experience can be good or bad depending on a number of circumstances. Chief among these is the caliber of the lending agency, as well as its policies. Canadian mortgage seekers can choose from several sources, including; Mortgage Finance Companies (MFCs), Mortgage Investment Corporations (MICs), and traditional financial entities such as banks and credit unions. Some lenders, like Altrua Financial for instance, offer Canadians the ideal lender-borrower relationship, making them an ideal mortgage source.
A good mortgage lender will be legitimately established. This means registration with the relevant provincial or federal authorities.
Mortgage companies are in the business of making money, which means there is very little room for the human element. But a company that can offer its clients reprieves during uncertain times is most certainly among the better options for mortgage seekers. In recent times, for instance, many Canadian mortgage providers have offered accommodations lasting up to 6 months for clients who are affected by the global pandemic.
Positive Customer Feedback
Like many other businesses, mortgage sources can be judged by the way their customers talk about them. Reviews can help you to identify the ideal mortgage lender. Mortgage companies that offer excellent packages and services will have great reviews from past and current clients. Be sure to look for independent reviews instead of relying solely on those that may have been solicited by the company.
Reasonable Mortgage Rates
Without a doubt, a reasonable rate is a key characteristic of a good mortgage provider. Currently, the rates range from the Bank of Canada’s 0.25% to a little below 5%. A fixed rate is a good idea for borrowers who wish to be protected against rate increases during the loan’s lifetime.
A good mortgage company will offer its clients insurance options for their loan products. While industry leaders noted an increasing trend in uninsured mortgages throughout the first quarter of 2020, borrowers should really be leaning towards those providers that combine their products with insurance options. Insurance protects the lender in the event that circumstances (like the recent job losses due to the COVID19 pandemic, for instance) change and servicing the loan becomes challenging.
A Range of Mortgage Products
A mortgage provider that is worth your attention will offer a range of different loan products (such as home equity mortgages, reverse mortgages, refinances, and combination mortgage loans along with the traditional mortgage loan). It is more likely that you will find a product that meets your specific needs from a lender that has varied options than from one with limited choices.Canada’s mortgage industry is essentially dominated by six big banks, but despite this, it is also characterized by a wide range of entities. And while the COVID19 pandemic did affect the industry, things have remained pretty stable nonetheless. Mortgage seekers must, therefore, focus on selecting the lending source that is most ideal for their needs and goals.
Phoneia.com (December 15, 2020). What Makes a Good Mortgage Lender in Canada?. Recovered from https://phoneia.com/en/what-makes-a-good-mortgage-lender-in-canada/