Private Mortgage
Solutions

A private mortgage is a real estate loan provided by private investors, mortgage investment corporations (MICs), or private lending companies rather than traditional banks or credit unions. In Ontario's diverse lending landscape, private mortgages fill a crucial gap for borrowers who don't fit traditional lending criteria.

Michael North, a licensed Ontario mortgage agent, has extensive experience arranging private mortgages for clients across the province. With access to numerous private lenders including Firm Capital, Atrium, Fisgard, and many others, Michael finds solutions when banks say no.

Who Uses Private Mortgages in Ontario?

• Self-employed individuals who can't prove income traditionally
• Those with credit challenges — bankruptcy, consumer proposal, low scores
• Real estate investors needing fast closings
• Homeowners needing bridge financing between buying and selling
• Those with unique properties banks won't finance
• Anyone needing fast access to funds for time-sensitive situations

Private mortgages come with higher rates and fees than traditional mortgages, but they serve a specific purpose: providing financing when other options aren't available.

Typical Private Mortgage Costs:

• Interest rates: 8-15% annually depending on LTV and risk
• Lender fees: 2-4% of the loan amount
• Broker fees: Often included in lender fees
• Legal fees: $1,500-$2,500 for mortgage registration
• Appraisal: $300-$500 for residential properties

Your Exit Strategy:

Private mortgages are typically short-term solutions (1-2 years). Michael North helps you develop a clear exit strategy, whether that's rebuilding credit to qualify for traditional financing, selling the property, or paying down debt to improve your debt service ratios.