What is a mortgage?
A mortgage is a loan that’s secured by a property. The loan amount is called the principal and must repaid along with the interest over the term of the mortgage. A mortgage can be used to finance:
- A new or existing home
- Home renovations
- Debt consolidation
A mortgage is a fully secured loan, so you typically pay a lower interest rate than you would with most other types of financing. Failure to make your mortgage payments could result in the loss of your property.
Can I use a Macquarie Financial mortgage to finance property located anywhere in Canada?
Currently, Macquarie Financial mortgages are available in Alberta, British Columbia, Ontario and Quebec. We plan to expand into other provinces and invite you to check back to see new locations as they become available.
Who may apply for a Macquarie Financial mortgage?
Any qualifying Canadian citizen may apply for a mortgage. Plus, we welcome applications from Macquarie Financial ‘Friends & Family’ and business Affinity Partners and newcomers to Canada.
How much do I need for a down payment?
For Conventional mortgages, you need a down payment of at least 20% of the purchase price of a home. You can also get a mortgage with a down payment as low as 5%, but you must insure the mortgage against default. The mortgage insurance premium would be included in your regular mortgage payment.
What costs should I expect when I buy a home?
In addition to the purchase price, there are closing costs you must pay. These costs depend on the value of the home you purchase and typically include:
- Legal costs and disbursements
- Appraisal fees
- Home inspection fees
- Survey fees
- Title Insurance
- Government transfer tax
- Property taxes and utility bills unpaid by the previous owner
What happens with my application?
Once you have completed and submitted your application to us, we review all the information. In some cases, we may request supporting information. You will be advised of a preliminary approval based on acceptable valuation or any other special conditions. A secondary assessment of your application is done after we appraise the property you wish to purchase. We then advise you in writing of the formal approval of your loan amount.
What happens when it’s time to renew my mortgage?
We will contact you when it’s time to renew your mortgage. This happens at the end of your original mortgage term. You may also contact us to begin the renewal process.
What is a Preferred Rate mortgage?
A Preferred Rate mortgage is our commitment that you will receive a competitive rate every time you renew the terms of your mortgage, or switch your mortgage to Macquarie Financial. Our Preferred Rate is usually 1% lower than the banks’ posted interest rates – and you receive it automatically and without negotiation.
What happens to my mortgage if I want to sell my home?
Macquarie Financial offers you two great mortgage features if you decide to move to a new property:
- Portability – You may keep your existing mortgage (and interest rate) and apply it to your new home
- Assumability –The person purchasing your home may qualify to take over your mortgage; this is especially useful if you do not plan to purchase another property or plan to make an international move
How do I refinance my existing mortgage? Are there penalties?
Contact us to refinance your mortgage. A mortgage specialist will evaluate your personal details and advise you about possible solutions and next steps.
Some mortgages may require you to pay a penalty if the mortgage is paid off or refinanced prior to the completion of the term. If your mortgage has a penalty for prepayment, the penalty fee may be added as an additional cost that is paid at the time of closing.
Can I port my mortgage to another property?
Macquarie Financial mortgages are portable. There is a penalty that will be charged when breaking the mortgage but this will be reimbursed in 60 days if these two criteria are met:
- The new property results an increase in loan of a minimum of $50,000 and there is a minimum of 12 months of good payment history; the closing must take place within 60 days
- The new property results in a decrease in loan size of less than 20% of the original loan amount; a minimum of 6 months of good payment history is required and the closing must take place within 60 days
Can I include my property taxes in the mortgage?
Property taxes are not included in your mortgage payment. As the mortgage holder, you are responsible for paying property taxes to the respective municipality.
Can I get a statement of my mortgage?
Yes. There are multiple statements that can be sent depending on the information you need; fees may apply.
- Annual Statement – Includes the mortgage balance from January to December, interest rate, total payments received, payment applied to principal, payment applied to interest, payment frequency, payment amount, and payments remaining over term.
- Discharge Statement for Information Purposes – Includes mortgage type, interest rate, maturity date, last payment processed, principal balance, accrued interest, debits/credits, penalty, and discharge fees.
- Information Statement – Includes the mortgage type, interest rate, maturity date, payment amount, payment frequency, original amortization, principal balance, debits/credits, and loan status.
- Interim Mortgage Statement – Includes the payment amount, payment applied to principal per transaction, payment applied to interest per transaction, mortgage balance, interest rate(s) and other debits/credits for the life of the loan.