Refinancing Your Mortgage
Sometimes you need to borrow some extra money, whether you need to do a home renovation, or need some extra funds for an unexpected situation. That’s where we come in to help you refinance your mortgage. We offer four different solutions.
In some cases, if the prepayment penalty + lawyer fees are too high, it might not be worth it to refinance. Let’s take a look at your specific situation and come up with a solution together.
Equity Take Out
Equity take out is a mortgage that would be classified as a refinance. The “take out” equity would be used for things like repairs, renovations of the property, debt consolidation or taken for other investment property downpayment. The owner must have equity in the property to do this.
Line of Credit
Equity take out can be take out in the form of a Home Equity Line of Credit (HELOC). The borrower can utilize how much of line of credit they would like. A HELOC is usually interest only payments. It is a secured form of credit in which the lender uses the home as the guarantee. The HELOC cannot exceed 65% of the total loan-to-value of your home and up to 80% with the mortgage combined.
You can have a bigger mortgage amount and smaller HELOC.
Debt Consolidation
Debt consolidation is when you take out a new loan that combines many of your debts into one, and you follow a more favourable payment plan. You may be able to get lower rates, lower monthly payments, or even single monthly payments. We can consolidate all your credit cards, lines of credit, car loans, or any other loans that are at a higher interest rate to lower interest rate. This way you can take all those payments that you are making and consolidate it to one lower payment at a lower interest rate and save money. We will have to review your:
- Credit history
- Financial stability
- Home equity
- Proof of income
Refinancing your mortgage can be up to 80% loan-to-value (LTV) of your home. We can take a look at options for whether you require a HELOC with your mortgage, need to renovate, debt consolidate, are looking to buy an investment property or planning for your family’s future.
Home Improvement
Are you thinking about a home renovation? Maybe your roof needs fixing, or you want a bigger kitchen? We can help you refinance your mortgage and make that renovation possible.