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Ontario Mortgage

One of the surest ways of ensuring a secure future for oneself and one's family is the purchase of a home. A house or apartment is a massive commitment to the future but it ensures that one has a permanent address and, once it is paid for, there is no rent and the expenses of daily living drop dramatically.
Most young families who go this route are likely to move at least twice between buying their first home and the one they eventually pay off and retire in. Having bought affixed property one is then a homeowner with a vested interest in the neighborhood and the future of the country and its economy.


Very few families, when starting out, or even when buying a property to retire to have the cash up front. So they go to mortgage lenders. There are many mortgage lending institutions in Canada and most of them offer similar deals. Much depends on the following; the property to be mortgaged, the amount one wishes to borrow, the amount of personal equity one is investing, one's credit history, one's assessed ability to pay.


All of these conditions are logical if one thinks about them. If one is 21 and a temporary employee in a burger bar earning $300 a week and wishes to raise a mortgage of $100,000 for a sub-divided apartment in the worst neighborhood in town the mortgage lenders are likely to politely decline. If, on the other hand you are a section head in a large software firm with 10 year's service, have already settled a mortgage on the first property bought and are investing 25% in a $1,000,000 house with garden in the most sought after suburb the mortgage lenders will be chasing you with attractive deals on interest rates and repayment terms.


But most people fall in between these 2. Some have saved hard to get a deposit and may not always have had the best credit record having let the credit card go over limits at times.


For these there is the Ontario Mortgage. An Ontario mortgage is, like any other mortgage an entailment on the title deeds of the property which will remain with the mortgage holder until it is fully paid up according to the prevailing interest rates and fluctuations as agreed in terms of the mortgage. The big difference is that an Ontario Mortgage is not with one of the normal Mortgage suppliers.
An Ontario Mortgage is with a private individual or syndicate who has the net capital to invest and believes that an investment in fixed property is sound and offers a better return than is available from a bank.


Fixed Property, although not being liquid, is a sound investment. The value of fixed property has gained steadily over the years and mortgage yields an income for the life of that mortgage. There are many individuals who are prepared to lend the money for an Ontario mortgage and one needs to find the brokers who can arrange the deal for an Ontario Mortgage.


When one puts in an offer to purchase a fixed property one often has an estate agent who will offer to raise the mortgage for one. They may have the best intentions in the world but most estate agents will tend to arrange the mortgages through one of the big mortgage suppliers from whom they get an agency fee. It is always advisable to shop around as even a ¼% over the life of a 20 year mortgage can make a huge difference in the amount one ends up paying at the end. 


It is always advisable then to consult a broker who will try to get the best deal for one. When consulting these brokers be sure to ask about an Ontario Mortgage. Private lenders tend to be less rule bound than a bank and may overlook a poor credit record or unstable employment record. In addition those who finance the Ontario Mortgage tend to be local citizens. A Lender in Montreal will feel comfortable investing in a property in Montreal but doesn't know the market or are in Vancouver so will be disinclined to grant an Ontario Mortgage there.
The Broker is the one to ask to arrange and Ontario Mortgage as a viable option for financing your next property.

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