Refinancing and Debt Consolidation
Refinance up to 80% of your Home's Value with NO CMHC fees or up to 90% (with fees)!
With the significant appreciation in housing prices over the past seven years, many consumers have taken advantage of lender refinance programs. No one likes to refinance their home to pay out credit card debt, car loans or line of credit, but sometimes it makes sense to review this option in more detail.
Here is a quick checklist:
- Are you tired of making multiple (four or five) different payments each month?
- Do you find yourself making minimum payments each month?
- Are the other creditors charging interest rates which are higher than today’s mortgage rates?
- Do you wish you had more money to purchase stocks or bonds or other investments?
If you answered yes to the above checklist questions, please contact True North Mortgage to further discuss your ability to take equity out of your home(s) for a variety of purposes including: asset enhancement, debt consolidation, combining a first and second mortgage or renovations. It helps to have a professional consultant explain this program and review your individual needs in detail.
Do remember that even if your original mortgage was insured, you only pay the insurance premium on the new money borrowed.
Requirements for Re-financing include:
1) Acceptable Loan Purpose
- Refinance purposes including: asset enhancement, debt consolidation, combining 1st and 2nd mortgage, renovations and investment purchases
- Available for extended amortizations up to 35 years (refer to 30/35 Year Product Overview for premium schedules)
- Multiple advances to a maximum of two
- This program excludes mortgages for default management purposes.
2) Eligible Properties
- Owner Occupied:
Maximum four units with at least one unit occupied as the principal residence
Existing properties (not for new construction) - Secondary Homes or investment properties:
Maximum 2 units
Existing properties (not for new construction)
3) Loan-to-Value Ratio Limits
'Loan-to-value' (LTV) is the relationship between the principal balance of a mortgage and the property value. For example, if you have a house valued at $100,000 with a $90,000 loan, you have a 90% LTV ($90,000 divided by $100,000 = 90%). For this program, the maximum LTV ratio is 90.00%
4) Amortization Options
Available for extended amortizations up to 35 years (refer to 30/35 Year Product Overview for premium schedules). If a full premium is paid on the entire mortgage the amortization can be up to 35 years (i.e., currently uninsured conventional mortgages).
