Advantages of Using a Private Mortgage Lender Over Traditional Banks
When buying your first home, the paperwork process can be pretty intimidating and seemingly without end. For many people, getting your own home is still the “Canadian Dream,” but it is increasingly difficult to get approved for a mortgage loan from traditional banks. This leads many potential homeowners to invest a significant portion of their money and time into getting the house they want, only to have the financing fall apart at the last minute of their mortgage process.
Our private mortgage lenders offer some advantages over the traditional bank mortgage structure. Understanding the difference becomes crucial if you are a first-time homebuyer.
Private Mortgage Broker
Why Choose a Private Mortgage Lender Instead of a Bank?
Our Private home Mortgage Brokers offer greater flexibility than most traditional banks. While private mortgage lenders still have to follow many of the traditional bank’s rules, private mortgage lending institutions are less strictly regulated than most banks. This allows them to structure different loans to match the buyer’s precise financial situation to their homeownership goals.
Obtaining a mortgage loan through a private mortgage broker is typically faster and easier than obtaining one from a bank. Banks have to conform to multiple potential entities with stringent regulations on an acceptable candidate for a loan. As part of the traditional bank mortgage application process, there can be a ton of paperwork, dozens of forms to sign, and many documents to compile and submit.
Private mortgage lenders take a more customizable and tailored approach to lending. For example, a private mortgage lender might be able to overlook flaws from your past that appear in your credit history and consider factors much more current, such as your debt-to-income ratio. They evaluate the loan you are interested in getting and consider whether or not it’s reasonable for your income. If the risk seems slightly higher, they can often still extend you a loan that a traditional bank wouldn’t, at a slightly higher interest rate to make the private lender’s investors feel more comfortable taking that risk.
Get Started Today
If you are looking for a Private Mortgage Broker in Surrey, then Crown Funding Mortgage Broker Surrey can work with you to take the hassle out of the home buying process by quickly getting you pre-approved and on your way to purchasing the home you desire. To get started right away, fill out our online application, or contact us at 778-320-9494 or info@crownfunding.ca if you have questions about the process.