Where do you find a Vancouver Mortgage Broker for second mortgages?
When a home owner is looking for a Vancouver Mortgage Broker for a second mortgage, chances are that he will search the internet to locate a Mortgage Broker nearby. In Vancouver, BC a search will turn up a few Mortgage Brokers who have the contacts and experience to arrange for the money required by the home owner.
What are second mortgages?
Second mortgages are loan contracts secured on real properties which already have prior first mortgage charges on them. Most second mortgages are private mortgage loans provided by private mortgage lenders. These private mortgage loans fill the gaps that some financial institution such as banks and credit unions are unable or unwilling to fulfill.
Private Mortgage Lenders
Second mortgages are secured high yield investments private investors understand, and at the same time have some control on the investments. A private mortgage is a relatively safe investment. Most private lenders capped their investment risks to not more than 85% of the real estates provided as securities. The interest rates payable on 2nd mortgage loan contracts are from 9% to 18% per annum.
Some common features of a 2nd mortgage are:
1). Financing up to 85% of house value.
2). Interest rates from 9% to 18%.
3). Term – generally from 1 to 3 years.
4). Payments – mostly interest payment only.
5). Lender/broker fees – varies from 4% to 8%
6). Approval time – may take 1 day to 5 days.
7). Loan funding – can be done in less then 10 days.
If you like to find out more information about Vancouver second mortgage, kindly contact James Wong at 604-721-4817
If you are curious as to the requirements on “How to be a mortgage broker in Canada”, you can easily find the answer by doing your research on the internet. Different Canadian may have their own regulations government the licensing and requirements to become a mortgage broker.
The term “mortgage broker” is loosely used to refer to a mortgage broker, mortgage advisor, mortgage consultant, mortgage representative or mortgage specialist. The correct name is a “sub-mortgage broker” for a person who is licensed and works on the business of providing mortgage and home financing services.
In British Columbia, the provincial Financial Institutions Commission of BC (FICOM) requires a sub-mortgage broker to be sponsored or employed by a mortgage broker company.
There are 2 basic requirements to become a licensed mortgage broker in BC:
1) Pass the examination. A person has to pass the “sub-mortgage broker course” before he or she can be licensed and registered to work as a sub-Mortgage Brokers. Employees of Canadian Banks, Credit Unions and Trust Companies are exempt by the Government and not required to be licensed to market their employers mortgage products to home owners.
There is a requirement for basic English language proficiency before an individual can be accepted to take the sub-mortgage broker course.
2) Good character. Before a license is issued to a sub-mortgage broker, FICOM has to be satisfied that the person to be licensed has no previous criminal records or past misconducts not worthy of being admitted or entrusted with dealing with credits and loans as a mortgage broker.
Most matured Canadians will not likely have any problem to satisfy the above requirements. If you are interested to find out more information on how to become a sub-mortgage broker, you are welcome to contact me.