If you’re looking for a home loan, you can save time and money by working with our brokerage.
If you’re planning on buying a house, two terms you’ll hear a lot are home loan and mortgage. These two terms are used frequently when discussing property sales, and are often used interchangeably. This makes sense, as the two terms work closely together, and homebuyers sign the respective paperwork for home loans and mortgages at the same time, but there is a distinction between them. At Centum Mortgage Store, Ltd., we believe in giving all our clients the information they need to make the best financial decisions for their particular situation. Here, we’ll be going over the difference between a home loan and a mortgage, as well as going over how we can help you secure the best of both for your needs.
Put simply, a home loan is the actual money that you borrow from a lender in order to purchase your house. The vast majority of Canadians don’t have the cash to purchase a home upfront and outright, which is why people turn to banks or other lenders to loan them the money to do so. When you obtain a home loan, the lender will also have you sign a mortgage, which is a legal document that shows your agreement and obligation to pay back your debt to the lender. In legal terms, mortgages are a type of loan secured for real estate (whether residential or commercial), and which the borrower will need to pay back in full before they fully own the property. When you sign a mortgage agreement, you agree to use your new home as collateral to help the lender ensure that you’ll make your payments–if you fail to make your mortgage payments, the lender can foreclose on your home and sell it to someone else.
Because of the serious financial stakes involved, most homebuyers seek out professional assistance when applying for home loans and mortgages in order to make sure they get a deal that works for their particular situation. Whether you’re buying your first home or just the latest in many investment properties, we can help you get the best home loan for your needs. Applying for home loans on your own is often a tedious process, requiring long interviews with multiple banks, credit unions, and other lenders in order to find the best offer. When you work with us, on the other hand, we shop the market for you to let you use that time on other pursuits.
At Centum Mortgage Store, Ltd., we are proud to serve the Kelowna, British Columbia community. Our goal is to help all of our clients get the best home loan and mortgage for their specific needs, so if you are currently seeking a home loan, just give us a call.