Frequently Asked Questions

Commercial Mortgages

What are commercial mortgages, and who can benefit from them?

Commercial mortgages are loans used to purchase or refinance commercial properties like office buildings, shopping centres, and apartment complexes.

They benefit businesses and investors looking to acquire, develop, or refinance commercial real estate.

A commercial mortgage provides predictable monthly payments, which helps in long-term budgeting and financial planning.

It also allows businesses to invest in property, potentially increasing asset value and generating rental income.

Lenders evaluate the business’s financial health, credit history, the value and income potential of the property, and the borrower’s experience in managing commercial properties.

Yes, refinancing a commercial mortgage can lower interest rates, reduce monthly payments, and access equity for further investment or business needs.

Credit Challenged Mortgages

Can I get a mortgage if I have bad credit?

Yes, you can still obtain a mortgage with bad credit. Entrust Mortgage offers tailored solutions, including higher interest rates initially, with opportunities to refinance at better rates once your credit improves.

Options include mortgages through private lenders, improving your credit score through secured credit cards, and paying off debts to qualify for better terms in the future.

Mortgage Renewal Reviews

What should I consider when my mortgage is up for renewal?

Consider current interest rates, your financial situation, and future goals. You might find better rates or terms by switching lenders or negotiating with your current lender.

Reviewing your mortgage can reveal opportunities for better rates, lower payments, or more favorable terms, helping align your mortgage with your current financial situation.

Property Rentals

How can I finance a rental property investment?

Financing options include conventional mortgages, private lenders, and lines of credit.

Lenders will assess rental income potential, your credit score, and financial stability.

Understand market trends, property management responsibilities, and the financial implications of rental income versus expenses.

Strategic planning and risk management are crucial.

Entrust Mortgage finds competitive rates and flexible terms, and also provides strategic advice tailored to maximize your rental investment’s profitability.

Reverse Mortgages

What is a reverse mortgage, and how does it work?

A reverse mortgage allows homeowners aged 55+ to access home equity without selling their home.

The loan is repaid when the home is sold, or the owner passes away.

Homeowners aged 55 and older with significant home equity qualify for a reverse mortgage.

The home must be the primary residence.

It provides a tax-free income stream, allowing retirees to access funds for living expenses, healthcare, or other needs without selling their home.

Second Mortgages

What are the advantages of taking a second mortgage?

Advantages include accessing home equity for large expenses, potentially lower interest rates than unsecured loans, and using funds for debt consolidation or home improvements.

Risks include the possibility of foreclosure if payments are missed, as the loan is secured by your home.

Higher interest rates compared to first mortgages may also apply.

Entrust Mortgage provides comprehensive services including mortgage renewal reviews, debt consolidation advice, and investment strategies to help align your mortgage with your financial goals.

Switch or Transfer Mortgage

What does switching or transferring a mortgage involve?

Switching involves moving your mortgage from one lender to another to obtain better rates or terms.

This can be done at renewal or mid-term, depending on the conditions of your current mortgage.

The right time is when you can secure a lower interest rate, better terms, or improved services that better fit your financial needs. It’s often considered during renewal periods.

Yes, Entrust Mortgage can help you compare different lenders, assess your options, and guide you through the process of switching to a lender that offers better rates and terms.

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