Recently Funded•Markham
Markham Senior Clients Approved Under A-Lender Low-LTV Equity Program
Senior clients in Markham were selling their current apartment and buying a bigger bungalow. The husband was not working. The wife worked two jobs as a PSW. Both clients received CPP and OAS income. They also owned another fully paid condo that they intended to use as a rental property. We used the rental worksheet of an A lender to calculate the rental surplus and added the eligible surplus to their income. The ratios were still high, but because the clients were making a large down payment, the LTV was below 65%. The lender had an equity program under which extended ratios were allowed when LTV was below 65%. The file was approved under that program.
- Solution
- A-lender purchase mortgage
- Purpose
- Primary residence purchase using A-lender low-LTV equity program
Markham Ontariosenior clientsbungalow purchase
Read the case study →Recently Funded•Aurora
Aurora Private Blanket Mortgage Used for Preconstruction Deposit
An Aurora client owned two properties and planned to sell both of them to buy a bigger home. Her income supported the planned mortgage on the bigger home on a standalone basis, so the final mortgage was not the issue. The issue was liquidity. She liked a preconstruction home but did not have enough liquid cash available to pay the builder deposit. We arranged a private mortgage with a blanket charge over both existing properties to cover the deposit. The exit was very clear: when the preconstruction home approached closing, she would sell both properties and use the sale proceeds to repay the private mortgage and complete the purchase.
- Solution
- Private blanket mortgage
- Purpose
- Short-term private mortgage to fund preconstruction builder deposit
Aurora Ontarioprivate mortgageblanket mortgage
Read the case study →Recently Funded•London
London Power of Sale Rescue with Fully Prepaid Private Mortgage After Road Accident
London clients faced power of sale after the husband had a road accident and was unable to work for a significant period. Because of the income interruption, they fell behind on mortgage payments and ended up in arrears. We arranged a fully prepaid private mortgage for the term to pay off the existing mortgage, cure the arrears, and consolidate their debts. Since the mortgage was prepaid, the clients did not have to make regular private mortgage payments for one year. The exit strategy was to revisit refinance with an institutional lender after the husband returned to work.
- Solution
- Private mortgage
- Purpose
- Fully prepaid private mortgage to stop power of sale, pay out existing mortgage, consolidate debts, and create one-year refinance exit window
London Ontariopower of saleprivate mortgage
Read the case study →Recently Funded•Ottawa
Ottawa B-Lender Second Mortgage Consolidated High-Rate Mortgages, Credit Cards and Car Loan
Ottawa clients approached us with a very expensive debt structure. The wife had two full-time jobs, and the husband was also salaried. They had three mortgages: the first mortgage was with a bank at a normal interest rate, while the second and third mortgages were at very high rates. They also had significant credit card debt and a high-interest car loan. Their credit score was too low for a full refinance with an A lender. We recommended a B-lender second mortgage to consolidate the second mortgage, third mortgage, credit cards and car loan while keeping the first mortgage in place. The new second mortgage was structured like a regular mortgage amortized over 30 years, with automatic renewals subject to lender terms.
- Solution
- B-lender second mortgage
- Purpose
- B-lender second mortgage to consolidate high-rate second and third mortgages, credit cards and car loan
Ottawa OntarioB-lender second mortgagedebt consolidation
Read the case study →Recently Funded•Ottawa
Ottawa Prepaid Private Second Mortgage for Basement Rental Suite and Debt Consolidation
A single mother in Ottawa, working for a government department, wanted to access equity to build a basement for additional rental income. She also wanted to consolidate existing debts. We arranged a fully prepaid private second mortgage that gave her enough cash-out to complete the basement project and consolidate debts. The private mortgage maturity was intentionally aligned with the maturity of her existing first mortgage so that, at renewal, both mortgages could be reviewed for consolidation into one refinance structure.
- Solution
- Fully prepaid private second mortgage
- Purpose
- Cash-out for basement construction, debt consolidation, and future refinance planning
Ottawa Ontarioprivate second mortgageprepaid private mortgage
Read the case study →Recently Funded•Brantford
Brantford A-Lender HELOC Using Corporate NIAT, Rental Surplus and Basement Rent Offset
Brantford clients co-owned three properties: a primary residence where the son lived with his parents, plus two rental properties. The primary residence was free and clear, and they wanted a HELOC secured against it. The husband worked as a truck driver, but his personal T1 income was very low because income was collected through a corporation account. We used corporate NIAT less dividends where lender policy allowed. The son was salaried, and the wife was also salaried. We also used the rental worksheet of a major A-side bank to calculate the rental position from the two rental properties. One rental property showed a surplus and one showed a deficit, but overall the rental worksheet showed a surplus. The subject property also had basement rental income, but lenders generally do not add the subject property to the rental worksheet; instead, the basement rent was treated as an offset. We approached a major A lender and secured the HELOC they needed.
- Solution
- A-lender HELOC
- Purpose
- A-lender HELOC on free-and-clear primary residence
Brantford OntarioA-lender HELOCfree and clear primary residence
Read the case study →Recently Funded•Ottawa
Ottawa Private Second Mortgage for Debt Consolidation on Well and Septic Property
Ottawa clients were drowning in debt, with substantial credit card balances and very low credit scores. The wife was running a daycare, and the husband had been working for a government agency but was laid off. The property was also serviced by well and septic, which created another challenge because many lenders are more conservative on loan-to-value for well and septic properties. Due to the income disruption, low credit scores, and property profile, private financing was the only viable option. We tapped into our private lender network and arranged a private second mortgage to consolidate debts. Their cash flow improved after consolidation. The exit plan is to improve credit, restore income when the husband gets his job back or finds another job, and then revisit moving the private mortgage to an institutional lender.
- Solution
- Private second mortgage
- Purpose
- Debt consolidation, cash-flow improvement, and future institutional refinance planning
Ottawa Ontarioprivate second mortgagedebt consolidation
Read the case study →Recently Funded•Whitby
Whitby A-Lender Approval with Credit Score Exception After B-Lender HELOC and Credit Challenges
Whitby clients had two mortgages: a first mortgage with a bank and a HELOC in second position from a B lender. They also had some credit challenges and credit card debts, and their credit score was on the margin. We reviewed the file and found that income was good. The main challenge was credit score. We approached an A lender and requested an exception on the credit score. When other factors are strong, some lenders may consider an exception on one or two weaker factors. The lender approved the file.
- Solution
- A-lender refinance approval
- Purpose
- A-lender approval through credit score exception where income and other file strengths supported the request
Whitby OntarioA-lender approvalcredit score exception
Read the case study →Recently Funded•Hamilton
Hamilton C-Suite Executive Refinanced from Private Mortgage to A Lender Despite High Support Obligations
A Hamilton client was a C-suite executive with strong income but was stuck with a private lender paying very high interest. The file was complex because the client had gone through multiple family-law obligations and was paying high alimony and support payments. Lenders consider ongoing alimony and child support as liabilities, so these payments are included when calculating the total debt service ratio. Even with strong income, the ratios were going high. The credit score was on the margin, and there was also significant unsecured debt. We reviewed the full financials and recommended a full refinance. We obtained an A-lender approval with a credit-score exception, allowing the client to refinance out of the private mortgage.
- Solution
- A-lender refinance
- Purpose
- A-lender refinance to exit private mortgage and consolidate unsecured debt
Hamilton OntarioC-suite executiveprivate mortgage exit
Read the case study →Recently Funded•Orangeville
Orangeville Senior Widow Used Reverse Mortgage for Credit Card Debt Consolidation
A senior widowed homeowner in Orangeville approached us for a debt consolidation solution. She had very limited income, mainly OAS and some government support. She was struggling with credit card debts and was making minimum payments only. We reviewed her situation and recommended a reverse mortgage. A regular refinance or HELOC was not suitable because income was limited. A private mortgage was also not suitable because it would have been costly and there was no realistic exit strategy. The reverse mortgage allowed her to access home equity, pay off the credit card debts, and improve cash flow without regular mortgage payments.
- Solution
- Reverse mortgage
- Purpose
- Reverse mortgage used for credit card debt consolidation and cash-flow relief
Orangeville Ontarioreverse mortgagesenior widow
Read the case study →Recently Funded•Oshawa
Oshawa Full Refinance Reduced Monthly Payments by About 65%
Oshawa clients approached us for a solution to consolidate their debts. The husband was salaried and worked in IT. The wife was a homemaker. Household income was limited. They had credit card debt and unsecured lines of credit. We ruled out a private mortgage because there was no realistic exit strategy; it would have simply shifted loans from credit cards and unsecured lines of credit into a private mortgage. A second-position HELOC was also considered. After running the numbers, we recommended a full refinance because their existing first mortgage was also at a relatively higher interest rate. The clients consolidated their debts and reduced monthly payments by approximately 65%.
- Solution
- Full refinance
- Purpose
- Full refinance to consolidate credit cards and unsecured lines of credit while avoiding unsuitable private mortgage
Oshawa Ontariofull refinancedebt consolidation
Read the case study →Recently Funded•Maple
Maple Refinance Approved by A Lender Despite Low Credit Score and Maternity Leave
Clients in Maple wanted to refinance but were convinced they would only qualify with a B lender. They had checked their credit score on a popular free app and believed the score was too low for A-lender financing. They were also concerned because the wife was on maternity leave. We reviewed the full file and pulled lender-facing credit. The score was low, but it was higher than the app showed and only a few points below the A-lender threshold. We approached the bank where they had their primary banking relationship for more than 20 years and requested a credit-score exception. The bank agreed, and the clients were refinanced on the A side instead of being placed with a B lender or private lender.
- Solution
- A-lender refinance
- Purpose
- Mortgage refinance
Maple Ontariomortgage refinancelow credit score
Read the case study →Recently Funded•Burlington
Burlington Client Refinance Made Sense Even After Prepayment Penalty
A single Burlington client had a first mortgage at a very high rate and a car loan with a high monthly payment. He approached us for a solution. We reviewed the full file, calculated his mortgage prepayment penalty, and compared that penalty against the potential savings from refinancing into a substantially lower-rate mortgage. We also included the benefit of paying off the high-payment car loan through the refinance. After discussing the numbers with him, we concluded that breaking the existing mortgage made sense despite the penalty because the new mortgage reduced interest cost and the car loan payout improved monthly cash flow further.
- Solution
- Full mortgage refinance
- Purpose
- Full refinance to replace high-rate mortgage and pay off high-payment car loan after penalty analysis
Burlington Ontariomortgage refinancesingle borrower
Read the case study →Recently Funded•Ottawa
Ottawa Private Construction Loans After Title Severance for Two Townhouses
An Ottawa client requested a construction loan for two townhouses he was building on a parcel of land. The construction plan itself was not the only issue. The major complication was that, while the client was building two separate townhouses and intended to sell them separately, the land was still under one common title. That created a significant legal, financing, and exit-strategy problem. We worked with the client and advised that the title issue had to be resolved before the financing could be cleanly structured. Once the title was severed for the two lots, we arranged two separate private construction loans to help him complete the project.
- Solution
- Private construction loans
- Purpose
- Construction completion financing after title severance
Ottawa Ontarioprivate construction loantwo townhouses
Read the case study →Recently Funded•Ottawa
Ottawa Second-Position Private Secured Line of Credit for New Business Owner
A client in Ottawa had recently left employment to start a new business. With no current job income, conventional financing was not the right fit, but the client owned real estate and wanted access to funds to support personal expenses and business cash flow during the early stage of the business. Instead of arranging a regular second mortgage, we recommended a private secured line of credit in second position. This gave the client access to funds when needed while charging interest only on the amount actually used.
- Solution
- Private secured line of credit
- Purpose
- Personal and business liquidity support
Ottawa Ontariosecond mortgagesecured line of credit
Read the case study →Recently Funded•Cambridge
Cambridge Private Mortgage Refinance to B Lender Reduced Payments by About $3,500
Cambridge clients were in a high-interest private mortgage and also had unsecured debts. Both husband and wife were working. The wife was salaried, and the husband was a self-employed electrician. Their credit score was on the lower side, so A-lender financing was not realistic. We approached a B lender and supported the husband’s income using 12 months of business bank statements. The refinance paid out the private mortgage and consolidated the unsecured debts. Overall, their monthly payments were reduced by approximately $3,500.
- Solution
- B-lender stated-income refinance
- Purpose
- Private mortgage exit, debt consolidation, and monthly payment reduction
Cambridge Ontarioprivate mortgage exitB-lender refinance
Read the case study →Recently Funded•Brampton
Brampton Second-Position HELOC for Pre-Construction Down Payment Planning
Clients in Brampton wanted to buy a bigger home and had booked a pre-construction property. Their entire down payment was expected to come from the future sale proceeds of their current home. The problem was timing: the pre-construction closing was still around one and a half years away, so a bridge loan was not viable. A full refinance was also not ideal because they would have paid a prepayment penalty now and potentially another payout cost at the time of sale. The real options were a private second mortgage or a second-position HELOC from a B lender. Because their income supported it, we recommended the B-lender HELOC. It was lower cost than a private second mortgage and could be repaid without prepayment penalty when the current home was eventually sold.
- Solution
- B-lender second-position HELOC
- Purpose
- Equity access for pre-construction down payment planning
Brampton Ontariosecond-position HELOCB lender
Read the case study →Recently Funded•Richmond Hill
Richmond Hill Private Mortgage on Rented Office Building for Business Investment and Debt Consolidation
A Richmond Hill client owned a rented office building that already had a small private mortgage on it. She urgently needed money to invest in her business. A-lender and B-lender financing were not available because her credit score was low. We arranged a private mortgage that was sufficient to cover the business investment need and also provided extra proceeds to consolidate debts. We deliberately structured the loan this way because the exit strategy was to refinance from the A side once her credit score improved. For that future refinance to become realistic, debt consolidation was necessary.
- Solution
- Private commercial mortgage
- Purpose
- Business investment, debt consolidation, and future A-lender refinance planning
Richmond Hill Ontarioprivate commercial mortgageoffice building
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