Private Mortgage Lenders in Hamilton
Our private lenders are ready to assist you in Hamilton with all your loan or mortgage needs. If you just recently bought your home or you are looking to buy property, a mortgage may be in your future. There are many different types of loans and mortgages and it is important to decipher which is best for you and your loved ones.
Unlike the banks, if done right, private mortgages through a private lender in Canada can save a home owner thousands of dollars over the course of their mortgage and this has everything to do with finding the right agent. The right agent will know your neighborhood and be able to properly assess your property. If you are seeking to receive up to 80% of your home’s accrued value, it is important to work with a private lending company that knows how to appraise a home and all the little details that go along with deciding the value of the property at hand.
For example, if you decide to work with a private lending company that does not know your neighborhood that well, they may decide on a value that is deemed unfair. This could simply be because you chose someone who does not know your city or area, which is why it is so important to ask around and do your research. Normally, a private lending company in your area will be armed with all the knowledge necessary to give you the best interest rates and fees available. Although, sometimes the company best suited for your loan needs may be outside of your area or surrounding neighborhood, which is why it is always important to ask around and do your due diligence before signing on the dotted line.
Choosing the Correct Non-Bank Mortgage Lender
There are a few differences between working with the major banks and working with a Canadian private lender. A private lending company in Hamilton will normally have a much smaller timeline in terms of qualification. They avoid things like the ‘stress test’ and can streamline the process in a much simpler fashion, especially if you own your home.
Although there are not many restrictions, a private lender also gives you the benefit of doing whatever you want with your sum of money. This may not always be the case, and it may depend on the agent you choose to work with. One of the key factors in obtaining a loan or mortgage is knowing exactly where you need to spend the money.
In most cases, debt payment is the usual reason, although there are a few others, including home remodeling. Remodeling will increase the value of your property in the long run, if you have the foresight to take out another mortgage or loan it will be of higher value because of the remodeling, painting, or renovations of any kind you have implemented on your property. This is a great way to use your newfound income if you are able to, thus ensuring your home goes up in value and can work even harder for you in the future.
Various Types of Private Mortgages
We at BSM Mortgage Broker offer different private mortgages one can apply for, some of which include:
- First mortgage
- Second mortgage
A first mortgage is quite simple. When purchasing a property, you are able to pay off a certain percentage right away as a down payment. The rest is paid off in monthly installments, which is your yearly mortgage.
A second mortgage is simply a mortgage you take out after your initial mortgage. This mortgage would run hand in hand with your first, so your lender would expect two payments.
A HELOC, otherwise known as a home equity line of credit, is a great away to establish a baseline of funds for yourself, assuming you can pay it off in time. The key difference here is, a HELOC, unlike some other mortgages, may allow you to borrow and re-borrow under the same guidelines and total amount, as long as you pay it back, similar to your average credit card.
Private Lending Outside of your City
Private mortgage lenders in Hamilton may be right for you if you live in the area, yet it is important to remember as a borrower you can possibly find better rates from other private lenders outside of your area or neighborhood. BSM Mortgage Broker offers great second mortgage rates and provides private mortgage lender services in Hamilton.
The only caveat here is once you do this you must also make sure your privatized lender has a strong knowledge of your home and the homes surrounding yours in order to offer you the lowest interest rate and overall fees available.
Private lending in Hamilton can be great for those who have a proper payment plan for the coming months and years. This is something a good private lender will work on with his client, ensuring he gets paid and that borrower is able to continue to move forward with life financially while still paying off their mortgage at a reasonable rate.
Private lenders will also deal with debt consolidation. Debt consolidation is simply a way of streamlining your payments into one simpler and potentially smaller payment. If you find yourself overwhelmed by the monthly bills that show up at your home it is time to discuss debt consolidation with your neighborhood private lender. Debt consolidation allows you to consolidate all your payments into one payment, avoiding the stress of paying off multiple collectors every month.
You also have the opportunity to make your monthly amount smaller, but again this may also increase the amount of time you spend paying off the total debts. For more information on this it is vital to speak with a licensed agent who can help guide you to the best decision for you and your business. There are many different types of avenues when it comes to debt, loans and second mortgages and your first correct step is speaking with the trained individuals who understand your situation is unique and has to be treated as such.