Whether you’re an experienced home buyer or mortgage virgin, you’ve probably come across the question “do I need a broker in Ontario?” If you plan on buying a home or remortgaging your current one in Ontario, there’s always the option to find a mortgage yourself. However, quite a bit of people quickly finds themselves in a jam after the first few years of their mortgage simply because they bought a loan that seemed good to them and didn’t take enough time to really understand its terms or shop around longer.
When you hear “mortgage” or “home buy” one of the first few things to come to mind should be “mortgage broker” for one reason – brokers are a necessity with mortgages or buying a home. Hiring a broker voids most possibilities of misunderstanding your mortgage; they’re experts and once you hire the right one, the process is that much easier. A broker has access to several dozen lenders, which allow them to sift through them and find you the best plan. Unless you’re a mortgage broker, or personally know one, chances are that you’ll only have access to a few lenders so there’s a greater chance that you’ll miss a better opportunity. Qualified brokers on the other hand have all that information at hand.
The utmost important thing to look for when hiring a mortgage broker in Ontario is if they are qualified. Finding a qualified mortgage broker usually means that they love what they do – and are licensed by the province. They invested time and money into being qualified and know that they run the risk of losing their qualifications if they give bad advice. Since people don’t buy a house often, brokers strive to give you the best possible product they can. Brokers want to hear good feedback from you so you can almost be sure that the plan they provide you with is one that will suit you financially. This is where a brokers’ service comes in handy; they know all the possible choices that can work with you and your situation. They’re trained to recommend a mortgage specific to each clients unique needs and circumstances. The better recommendations they give, the better reputation they have.
Knowing a professional from a profession- may not be important and a few key things to look for is in the meeting set by you and the broker. Now I wouldn’t hire a lawyer for example who didn’t ask me questions and didn’t communicate enough to understand my claim. A professional mortgage broker will take their time in finding out exactly what it is you want and to understand what exactly you need now and for the future.
Mortgage brokers in Ontario will bring you right to the front door of your mortgage provider along with all relevant and pertinent terms. By this I mean that when you hire a broker, you have little to no legwork – the legwork is their job. All you have to do is sit back and wait. Without a broker you have to spend lots of time searching for rates, terms and mortgages, different lenders, different opportunities and you still run the risk of missing something better.
Mortgage brokers use sophisticated software in helping them find the best mortgages for you through literally hundreds of home loans. This will help them assess the products and find the best options for your situation. They will guarantee a perfect mortgage that will save you thousands and benefit you and your family.
How To Avoid A Mortgage Default
Defaulting on your loan and losing your home is obviously a terrifying scenario. The foreclosure procedure, on the other hand, does not happen overnight. There are strategies to avoid defaulting on your mortgage even if you’re having financial difficulties.
Speak with your financial institution.
If you think you’ll be unable to make your monthly mortgage payment, contact your lender right away. You have a better chance of avoiding a mortgage default if you contact us as soon as possible.
Explain to your lender why you can’t afford the payment right now, and when you expect to be able to, and how much you can pay in the meanwhile. If you contact out ahead of time, many lenders are eager to work with borrowers to find a solution.
Your lender may be willing to grant you mortgage forbearance, which is a period during which your lender agrees to let you lower or suspend your monthly payments while also assisting you in developing a repayment strategy.
Contact a Mortgage Broker in Mississauga
You can contact a mortgage broker in Mississauga if your lender refuses to provide you any forbearance. A broker can look into your financial situation and assist you come up with a plan to prevent defaulting on your loan.
Find out if you can qualify for a refinance.
If you still qualify, refinancing your mortgage can help you avoid defaulting on your loan. Your previous mortgage is paid off and replaced with a new loan with new terms when you refinance.
You may be able to get a cheaper interest rate or extend the duration of your loan with the new loan. As a result, by refinancing, you may be able to cut your monthly payments and make them more manageable.
Consider modifying your mortgage loan.
You can get a home loan modification instead of refinancing if you don’t want to refinance. A loan modification is different from a refinance in that it allows you to keep your existing loan while changing the terms.
A loan modification may allow you to lower your interest rate, extend the duration of your loan, or even convert your loan type from an ARM to a fixed rate, depending on what your lender agrees to. Regardless of how your lender modifies your loan, the ultimate result is the same: a more affordable mortgage that will keep you out of default.
Conclusion
The prospect of defaulting on your mortgage can be frightening, but don’t let that deter you from taking action. Even if your monthly payment is already over due, you can still avoid foreclosure by taking the following measures. As soon as you notice you’re in risk of missing a payment, contact your lender, and a mortgage broker – they’ll work with you to find a solution.