Second mortgages are the most popular product at Victoria Financial. The main reason our customers choose this product is simplicity. There is no need to modify the mortgage you currently have with your banking institution. This loan is simply added as a second ranking mortgage on your property. Here are the answers to the most frequently asked questions on this matter.
What documents do I need to provide?
When applying for a second mortgage with a private lender, you will need the following the documents, all of which you probably already have on hand:
- 2 pieces of identification;
- a void cheque for the transfer of funds and monthly payments;
- a mortgage statement for your current mortgage;
- the certificate of location for your property (if you have it);
- a copy of your home insurance.
Does my income or credit score impact my chances of getting a second mortgage?
With Victoria Financial, the decision to grant you a second mortgage is based solely on the equity available in your property. For most Quebec cities, we offer financing for up to 75% of the market value of a property. So, if the balance on your first mortgage plus the amount requested on the second mortgage does not exceed 75% of the value of your property, your chances of being approved are excellent. You can use our mortgage calculator to see the loan amount you could be eligible for.
Why not just take out a personal loan?
If you qualify for a personal loan with an interest rate of under 10% with a traditional banking institution, go for it! That option will definitely be cheaper than a private mortgage loan.
However, if the only option available to you is a personal loan at an interest rate of 19.99% or above, it will definitely be cheaper to go with a second mortgage.
In addition to usually having a lower interest rate than personal loans, a second mortgage with Victoria Financial will not appear on credit reports, so your credit rating will not suffer.
How do I pay off my second mortgage?
La grande majorité de nos
The vast majority of our clients take out a second mortgage in order to consolidate their debts. Once their debts are paid off, they focus on improving their credit so they can qualify for global refinancing with a traditional bank within 12 to 36 months.
Others keep their loan for a longer period, depending on their priorities.
How can I apply for a second mortgage?
Apply online via our website or call our underwriting department at (877) 220-7738, extension 1.
