Construction Mortgage Loan/Mortgage Financing In Ontario
Licensed Mortgage Agents/ Brokers In the Greater Toronto Area
Fast, Easy, Flexible
From single custom houses up to $15 M projects
Purpose and Benefits of Construction Loans
Construction Loans are usually used at the time of construction or rehabilitating houses. Also, both the builders and the homeowners who want to rebuild their property can avail of this mortgage.
With a private construction loan, the money required to build the house is advanced to the homeowner as the construction progresses, and this is called a Progress Draw Mortgage. In general, the major banks release the money for each draw upon the completion of 35% , 60%, and 100%; while some private lenders are quite flexible in terms of advancing the loan and the number of draws to the extent that some of them will even advance the draw at a very early stage.
How to avail of a construction mortgage?
Usually, mortgage brokers have access to private investors, lenders, as well as institutional lenders who provide various terms and conditions for construction loans depending on the size of projects. An expert mortgage broker can assist homeowners in finding the most reliable and flexible products that can be customized based on their needs.
While some major banks provide loan for the construction purposes, yet, it is rigorous process. As a result, majority of experts in building and construction industry prefer the private construction financing since it is Fast, Easy and Flexible. Rather than Bank’s income verification approach, private lenders grant this loan based on the end value of the subject project so-called equity lending. With Construction Mortgage Loan, the money required to build the house is disburse to the homeowner as the construction progresses calling Progress Draw Mortgage. Generally speaking, the major banks have some limitation on the number of draws and draw schedules (money will be paid upon the completion of 35%, 60%, and 100%) while our lenders are quite flexible in terms of advancing the loan and number of draws. The loan amount can go up to 75% of the end Value. Let our Mortgage Agents/Brokers take a look at your project and customize a Mortgage Solution that suit your needs. Give us a call to discuss further!
Speak Today to one of Our Mortgage Agents or Brokers at (905) 707-9595