Bad credit: it is the boogie man for adults. We all live in fear of destroying our credit and never being able to get a loan, including a mortgage. Is it really impossible to get a mortgage with bad credit, though?
Not if you work with an alternative mortgage broker.
How an alternative mortgage broker can help you get a mortgage with bad credit
Big banks have always been reluctant to give out mortgages to applicants with bad credit. With the Canadian government’s new rules, it is now even harder to get a mainstream mortgage with bad credit.
Alternative mortgage brokers, like Freedom Capital, however, are not bound by these rules. Instead, we continue to assess mortgage applications the same way we always have – by examining your equity and overall financial picture. While credit can be a part of this picture, it is not the whole story to us.
What does getting a mortgage with bad credit mean?
There can be some differences when you get a mortgage with bad credit, even with an alternative mortgage broker.
Luckily, if you have significant equity today, your past is not going to be a major factor in your mortgage with us. We understand that you have previously dealt with financial issues, but that you have now moved beyond them.
If you are having continued financial difficulties, though – including low equity – you may have slightly higher premiums as you have a more high-risk situation. That will not stop you from getting a mortgage, though – or moving into your new home!