What is the advantage of dealing with a lender directly?
By talking to the lender directly you can save yourself a lot of time and money.  Broker’s play the role of a middleman, and middlemen can slow down the mortgage process.  By coming to the lender directly you are essentially eliminating the middleman, which will simplify and streamline the financing process.

What is a mortgage broker?
Mortgage brokers are usually independent professionals trained and licensed by the Canadian Association of Accredited Mortgage Professionals.  Brokers primary role is to find their clients the best available financing for their mortgage needs.

How do mortgage brokers get paid?
Broker’s get paid in one of two ways:

How much are mortgage broker fees?
Mortgage brokers generally charge a percentage for their fee.  The fee is negotiated up front, and is based on the complexity and size of the loan.  The fee is a one-time charge, and is usually quoted before the broker begins the process of finding a loan.

Why deal with a mortgage broker?
Mortgage brokers represent the customer, not the lender.  They are looking out for their client’s best interests.  Broker’s are not limited in the product they can offer you.  Their specialty is seeking out the best rate and loan product for each individual client.  There are so many different mortgage products available today that it can take quite a lot of time and effort to seek out the best mortgage for you.  Broker’s are extremely experienced at the complicated process involved in finding and applying for a mortgage.  More and more Canadians are saving themselves time and money by using broker’s to secure the funds they need to live the life they want.

By applying with Home Loan Direct you will be accessing the best of both worlds; the lender and the broker.  If, for any reason we cannot advance the funds required ourselves we will gladly seek out the best loan for your individual needs.

What are the standard costs associated with a Canadian mortgage?
The following are the typical fees and costs that a borrower can expect to incur while obtaining mortgage financing in Canada.  These costs are not specific to any lending company, they are a general breakdown of the various costs/fees that will be incurred.  The following list is meant as a guide only:

Will I qualify for a mortgage with HomeLoanDirect if I am unable to prove my income?
There are many occupations today that make it difficult for people to prove their income.  For example, insurance salespeople, bartenders/servers, and taxi drivers, who all earn their incomes from either commission or gratuities, have difficulties proving their income and are most often turned down by the bank.  So, should people in these industries not be allowed to purchase a home?  Of course not, that’s why HomeLoanDirect offers our clients the self-employed or no income verification loans.  We’ll work with you to help you get the most out of your income and your property.

What is the minimum down payment required to purchase a property?
With new regulations recently put into place buyers can now purchase a home for zero down.  However, the lending guidelines (credit rating, income qualification, etc.) for a zero down mortgage are very strict and borrowers may find this type of financing difficult to obtain.

How much of my RRSP’s can be used as a down payment?
A maximum of $20,000 worth of RRSP’s can be used for a down payment.  These funds are not subject to income tax if they are repaid within a specific time period.

Does previous bankruptcy affect my ability to qualify for a mortgage?
Absolutely not!  HomeLoanDirect lends funds based on the equity in your home.  Regardless of your situation, if you have a down payment or equity in your home, we’ll find a way to help you make the best of your situation.  Because we are not a large institution (like the banks) we can be flexible and creative with our clients and make sure we find a solution that works best for you.  Check out our credit challenged section for more information.

I’ve just moved to Canada, will I be able to obtain a mortgage?
Yes, many of our clients our new immigrants to Canada who the bank will not help because they have no prior credit history here, even though they have a credit history in their previous country of residence.  The HomeLoanDirect recent immigrants loan may be exactly what you need.

Are there mortgages to help me consolidate high interest debt?
Definitely.  HomeLoanDirect specializes in assisting our customers consolidate their debts into one easy monthly payment.  Apply for a HomeLoanDirect consolidation loan now to see if we can help you get rid of cumbersome debt.

Are there mortgages that will help me renovate my home?
Yes.  Another one of our specialties is helping our customers get the money they need to live in the house they want.  We can help you finish off that basement, build that deck, or add on to your kitchen, all of which will increase the value of your property.  Check out the HomeLoanDirect home renovation loan now for more details.

Why are property appraisals needed?
Lender’s require professional appraisals completed by certified residential appraisers.  The appraisal allows the lender to determine the value of the home and loan funds based on that figure.  Appraisal’s are also a good idea for buyer’s as they allow the buyer to determine if they are paying a fair price and what the condition of the home is.

What are 'mortgage terms'?
Mortgages are available with either a fixed rate of interest for various terms, ranging from 6 months to 7 years, with payments amortized over periods of up to 40 years, or variable rate mortgages.

How do I begin the mortgage application process?
You have a few options to begin the process.  You can either a)search out a mortgage broker, meet with them and fill out their application, so that they can begin searching for financing on your behalf; or b) click here and apply today in just minutes with HomeLoanDirect.com

Am I under any obligation should my application be approved?
Absolutely not, there is no obligation to accept a loan offer or commitment offered to you through HomeLoanDirect.com.  There are also no costs associated with the application.

Will my personal information be sold or shared?
Your personal information, your privacy, and the security of this sensitive data is of primary concern to us.  Our privacy policy is quite simple, HomeLoanDirect will under no circumstances sell or share your personal information unless absolutely necessary and only with your express written authorization.  Sometimes it is necessary to share your information with other lenders or brokers, however, this is only done with your knowledge and permission.  Our website security systems are backed by the ………  security system, so that your personal information cannot be stolen.

What is mortgage insurance?
Mortgage insurance protects lenders in the event of a default.  Unlike mortgage life insurance or house, property, and fire insurance, mortgage insurance insures the lenders investment, your mortgage.  The Schedule A banks are required by law to obtain mortgage insurance from either CMHC or Genworth for any high ratio mortgage.

How does one save money on a mortgage?
There are many different ways to save yourself money on a mortgage.  Banks will sometimes offer a lower rate if the mortgage is insured, (usually through their in-house mortgage insurance products) meaning less risk for the bank.  The most effective way to save yourself money on a mortgage is by paying it off sooner.  There are 3 foremost techniques to paying off a mortgage faster: