How to get the best mortgage rates in Canada?

How to get the best mortgage rates in Canada?

From Mathew Philip

I'm raising money for a cause I care about, but I need your help to reach my goal! Please become a supporter to follow my progress and share with your friends.

Support this campaign

Subscribe to follow campaign updates!

More Info

Many people become confused and get a mortgage in the wrong sense. But a mortgage is simply a loan amount that you get for buying a home. For signing a mortgage, your mortgage lender becomes willing to provide you a loan. And like a borrower, accept a specific amount of loan to purchase your home. Besides, in return, you become willing to refund all loan amount through monthly installments within a specific period. Besides, keep in mind there is generally a 15 to 30 years’ period in which you have to repay your amount. Moreover, keep remembering that many people use home loan terms with a mortgage interest rates

Included monthly payment in mortgage fee: 

Well, your total monthly payment is decided with the total payment of a loan. The borrowed amount you are getting from your lender, apply interest rate, and the total period in which you have to repay this mortgage. Besides, as a borrower, you have an option to choose a specific period between 15 to 30 years period. For paying less interest, you need to pay higher on monthly basis. 

Sometimes, you need more interest and principal per month because, in return, your lender needs some essential things which are essential to get a loan. In this situation, you pay some amount which is known as a down payment to the lender. Property tax is also included because this is a tax that you pay the local municipality for your home. Besides, homeowner insurance is something that keeps secure you from financial losses. In the early period of money refunding, your more installments go in the interest option and the minimum amount in the principal portion. Eventually, gradually pay the principal more as compared to the interest rate. And all this process is known as amortization. 

Difference between mortgage and loan: 

Well, both Mortgage company and loan are the same, but there are few differences. Standard loans can be available for different purposes like personal and business loans are the most popular examples of such loans. In this condition, you get a loan amount whether on a basis of your credit scored or some other financial base of federal like an educational loan. 

On the other hand, a mortgage is a specific term of the loan which you only get for the home buyer. And for this purpose, your credit scores have a high role to qualify for a big amount. And this is a key difference with the standard loans because mortgages only use for home buying. 

For a standard loan, you don’t need any special asset to provide your lender to cover up your money if you cannot pay your amount. But a mortgage loan is a safe loan because your home is utilized like security. It means, an investor can sell your property through foreclosure and can use it for refunding amount. 

Campaign Wall

Join the Conversation

Sign in with your Facebook account or