Markham Second Mortgage

Second Mortgage

A second mortgage is a kind of mortgage against a property with another mortgage in front of it. In this case, the property is provided as security for the mortgage and in the event there is a default in payment, the first mortgage will have first position ahead of a second.

A Markham Second mortgage helps finance a number of household needs. For example;

  • Home repairs
  • Education
  • Debt Consolidation
  • To pay CRA taxes or property tax arrears

Brief Analysis of First and Second Mortgages

In most cases, you will find that the interest rates on the second mortgage are typically higher than the ones in a primary mortgage. This is because in the event a borrower defaults, the primary lender will get proceeds from the foreclosure and only once they have been paid off is when the second lender will get their share.

However, second mortgages have lower origination fees than first mortgages. This makes second mortgages good for a refinancing option.

Types of Second Mortgages

A Markham Second mortgage comes in 3 types. They are; A secured Home Equity Line of Credit (HELOC), Private mortgage or Institutional second mortgage. These are discussed in more detail below.

  • Home Equity Line of Credit

This kind of mortgage is referred to as HELOC. A line of credit refers to a set limit beyond which you can’t borrow further. So when making the drawings on the account, the borrower has a fixed limit to the line of credit. This line of credit is set by the lender which in most cases is a bank or credit union. Interest rates are applied to the exact amount you borrow but not the unused portion of the line of credit. It is, however, important to note that interest rates can fluctuate. If this makes you uncomfortable then the line fo credit can be converted into a fixed rate loan (or mortgage). This particular kind of second mortgage may come in handy when you need to finance expenses over a period of time. A perfect example would be financing a home renovation project.

  • Home Equity Loan

This kind of mortgage usually is a fixed rate loan. The borrower can apply for an amount of money and then pay it back over time. This particular kind of second mortgage may come in handy when you need funds to pay things like CRA taxes or property tax bills or pay off credit card debt.

  • Collateralized Mortgage

A Collateralized Mortgage is a mortgage which can include a first mortgage, second mortgage and a line of credit. Borrowers can be given these loans in parts based on the value of their home. What this means is that borrowers would apply for a first or primary mortgage that covers a certain percent of the home’s value and also apply for a second mortgage that covers the other another percent of the home’s value. These loans and mortgages together have a collateralized amount which is then registered against the title of the property. These days, however, few, if any, lenders are willing to finance 100 percent of your home’s value.

Benefits of Markham Second Mortgage

  • Interest paid on mortgages can be tax deductible (see an investment specialist to find out how). This is helpful if you are self-employed and want to lower your taxable income.
  • The borrower can maintain access to cash for emergencies or as a back up fund.
  • It could also allow you to access equity in your home so that you can purchase a second home or use the funds for other projects.


  • “I can’t say enough how great your company has been. Matthew, thank you so much for making all of this process so easy for us. Our bank would not help us and you were amazing. Your company kept us informed every step of the way, and not once were we made to feel inferior like our bank did. The lawyers you set us up with were also awesome. I will highly recommend your company to anyone looking for mortgages. Thank you so much for getting creditors off or back and setting us on the right track. You guys are all amazing. I’m also so impressed that you came to us do to everything.”

  • “I just want to say ‘thank you’ to all of you, especially Matthew. The financial stress started affecting my health and my life. I could not sleep or focus at work. Now Expert Mortgage has given me control on my life by connecting me to a great lender. I have gone from being full of stress to being stress-free.”

    M.D, Mississauga, ON
  • “The bank would not lend money on our farm unless we showed them financial statements. Since my husband passed away, my son and I were struggling to keep the farm afloat. We just needed more time. The third mortgage you got us was the miracle we needed. You believed in us and we are so grateful. Thank you.”

    S.E. Orono, ON
  • “My pig farm always made good profit but last year was brutal for the whole industry. I fell behind on my mortgage. I showed FCC that my loss was just a temporary blip and asked them to give me some leeway but they started a foreclosure anyway. Thanks for getting me that private loan to buy me some time until I’m profitable again.”

    K.O., Hawkesbury, ON
  • “My ex-wife’s lawyer gave me 30 days to buy out her half of our house or have it put up for sale. I had no job and I was in bankruptcy. My bank manager laughed at me. I thought it was hopeless until I saw your flyer. I don’t know how you qualified me for the mortgage. You’re a miracle worker. Thank you!”

    J.R. Burlington, ON
  • “We were 6 months behind on our mortgage and the Sheriff was coming in 5 days to lock us out of our home. Every other mortgage broker said NO! I can’t believe you were able to get us a second mortgage that fast. You saved our home and I will refer everyone I know to you.”

    C.C., Oshawa, ON
  • “The bank refused to value my property based on all 211 acres. They said that their ‘rules’ limited it to 5 acres. Personally, I think that’s biased against farmers. I didn’t know that you had lenders who would value my property on all the acres. I finally got a large enough loan to tie all my debt into one payment. Thanks!”

    C.R., New Dundee, ON
  • “Every time I’d walk into a bank and say the word ‘farm’ the suit on the other side of the desk would look at me like I was from another planet! They had one agricultural ‘specialist’ for the area that was not much better. Then I went to 4 mortgage brokers before I stumbled on your company. Your rates were lower than the bank.”

    M.D., Bradford, ON
  • “Our credit was destroyed after we had a bad year. We needed to expand our facility. I explained to the bank that the expansion would make us profitable. I proved it on paper. They still declined us. I never heard of your ‘no questions asked’ private loans but you gave me $500,000 with no paperwork. That was a Godsend. My wife and I appreciate it from the bottom of our hearts and we won’t let you down.”

    R.Q., Woodville, ON
  • “Once again, a big thank you for arranging our new mortgage and being able to arrange for additional funds on closing. Matthew has worked hard for me over the last few years… I have a very high level of trust in Matthew and Expert Mortgage, and will surely recommend you to anyone I know who is in need. Thank You.”

    M.Z. Brantford, ON