Category: Private Mortgage Insights

Private mortgage rates are typically higher than bank rates, and it helps to understand why. Here is what drives the cost and how to think about it.

Why private rates are higher

Private lenders take on more risk and offer speed and flexibility that banks often cannot. That added value is reflected in the rate.

First vs. second mortgage pricing

First mortgages generally carry lower rates because they hold first claim on the property. Second mortgages are higher, reflecting their position behind the first.

Other costs to consider

Beyond interest, factor in legal and administrative costs involved in arranging and registering the mortgage. Ask for a clear breakdown up front.

Weighing cost against benefit

The key question is whether the speed and flexibility of private lending are worth the cost for your situation. For a time-sensitive, short-term need, they often are — but plan your exit so the loan does the job it is meant to.

Ready to talk?

If this sounds like your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

Detached homes are among the most common properties we lend against. Here is how a private mortgage on a detached house works in Ontario.

Why detached homes qualify well

A detached home is a standalone, self-contained property, which makes it straightforward to value and secure a mortgage against. As long as it is built and fully zoned for residential use, it is a strong candidate for private financing.

First or second mortgage options

You can borrow against your detached home with a first mortgage for primary financing, or a second mortgage to access equity on top of an existing loan — whichever fits your situation.

Common uses

Homeowners use private mortgages on detached houses to bridge a sale and purchase, fund renovations, consolidate debt, or access funds quickly when a bank cannot move in time.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

Condominium owners can use private mortgages just like owners of detached homes. Here is what to know about private financing on a condo in Ontario.

Lending against a condo unit

We lend against individually owned condominium units in completed, registered buildings. The unit is valued and a mortgage is registered against it in first or second position.

What we consider

For a condo, the unit’s value, location, and the status of the building all play a role. A built, fully-zoned, registered unit is well-suited to private lending.

How condo owners use it

Condo owners often access equity for renovations, debt consolidation, or short-term needs, or use a first mortgage when buying or refinancing.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

Townhouses sit between detached homes and condos, and they make solid security for a private mortgage. Here is how it works.

Freehold and condo townhomes

Whether your townhouse is freehold or part of a condominium corporation, it can be used as security for a private mortgage as long as it is built and properly zoned.

First and second mortgage options

You can arrange a first mortgage for primary financing or a second mortgage to tap equity, depending on your needs and any existing loan.

Typical scenarios

Townhouse owners commonly use private mortgages to bridge timing gaps, fund improvements, or access capital quickly.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

If you have built equity in your property, a private mortgage can turn that value into usable funds. Here is how accessing equity works.

What is home equity?

Equity is the difference between your property’s value and what you owe on it. As you pay down your mortgage and your property’s value holds or rises, your equity grows.

How a private mortgage unlocks it

A second mortgage lets you borrow against that equity without touching your existing first mortgage, giving you access to funds while keeping your current financing in place.

Common reasons to access equity

Homeowners tap equity for renovations, debt consolidation, business needs, or to bridge a short-term gap.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

Renovations can add real value to a property, and a private mortgage is one way to fund them quickly. Here is how it works.

Why use a private mortgage for renovations

A private mortgage gives you fast access to funds, which is useful when a renovation is time-sensitive or when traditional financing is slow or unavailable.

First or second mortgage

Depending on your situation, you might use a second mortgage to draw on equity for the work, or a first mortgage as part of a larger refinance.

Plan the project and exit

Have a clear budget and a plan to repay or refinance once the work is done, since private mortgages are typically short-term.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

Retail plazas are a core part of the commercial property we fund. Here is how a private mortgage on a retail plaza works.

What is a retail plaza?

A retail plaza is a multi-unit retail centre with several tenants across a connected site. It generates income from its tenancies, which is part of what we assess.

What we look at

For a plaza, we consider the location, the tenant mix, the income the property generates, and its condition — alongside the requirement that it is built and fully zoned.

Why owners choose private lending

Commercial deals move quickly, and private lending offers the speed and flexibility to act on time-sensitive opportunities.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

Individual retail units and storefronts are well-suited to private financing. Here is how it works.

Standalone and condo retail units

Whether it is a standalone storefront or a unit within a larger building or commercial condominium, a built and fully-zoned retail space can serve as security for a private mortgage.

What matters

Location, condition, and any income from the unit help shape the loan. As with all our lending, the property must be fully zoned for its current use.

Common uses

Owners use private mortgages on retail units to access capital, refinance, or bridge timing gaps.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

Industrial properties — from warehouses to manufacturing facilities — are part of the commercial real estate we lend against. Here is how it works.

What counts as industrial

Industrial property includes warehouses, distribution centres, and manufacturing or logistics facilities used for storage, production, and operations.

What we assess

We look at the building’s condition, location, and use, along with the requirement that it is built and fully zoned for its current industrial use.

Why private lending fits

Industrial deals are often large and time-sensitive, which is exactly where private lending’s speed and flexibility add value.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.

Commercial land such as parking and storage yards can be used as security for a private mortgage. Here is what to know.

Income-producing commercial land

Parking lots and storage or container yards are operational commercial land that often generate income. We lend against them when they are built out and running.

The zoning requirement

As with all our lending, the property must be fully zoned for its current use, with no outstanding work or permits pending.

Why owners use private lending

Private lending offers fast, flexible funding for commercial land owners who need to access capital quickly.

Ready to talk?

If this fits your situation, start your application or contact us and we will help you understand your options across Ontario.

This article is for general information only and is not financial, legal, or investment advice. Please consult a qualified, licensed professional before making any decision.