She Was Told She Needed a Private Mortgage. She Got a TD Bank Approval Instead.
A client came to us after meeting with another brokerage. She wanted to consolidate her debts, and they told her the only way to get it done was a private second mortgage.
The cost of that option was $12,000 in fees.
She lives on a pension income. For someone on a fixed income, $12,000 is not a small number. It's money she'd have to borrow just to get the loan, on top of the higher interest rate that comes with private lending. She came to us to see if there was another way.
What we found
We looked at her whole file from scratch instead of taking the earlier answer as final.
Once we had the full picture, we didn't need a private lender. We placed her with TD Bank.
The result
All of her debts were paid out
She was approved with TD Bank, a major bank, instead of a private lender
She avoided the $12,000 in private mortgage fees
That's money she keeps, and a payment she can actually manage on her pension.
Why this matters
A private second mortgage is the right tool for some people. But it shouldn't be the first answer, and it definitely shouldn't be the only one you hear. Private lending costs more up front and over time, so it only makes sense when a traditional lender really isn't an option.
Not every brokerage has the same lender relationships, and not every broker will put in the time to dig into a file that doesn't fit a simple mold. Pension income, self-employment, past credit issues, and other non-standard situations often take more work to place. That extra work can be the difference between a bank approval and paying thousands in fees you didn't need to pay.
Been told private is your only option?
Get a second opinion before you sign anything. If you're in Alberta or BC and want to consolidate debt, refinance, or just want to know where you stand, reach out to us at Elevate Lending. We'll look at your full situation and tell you straight what your options are.
Call 587-900-0036 or email info@elevatelending.ca
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