Mortgage Brokers Mortgage Broker And Second Mortgage in Toronto | Page 13

THINGS TO KNOW WHEN
GOING FOR A SECOND
MORTGAGE IN TORONTO
• When you want a second mortgage, you need to proceed carefully
and understand all potential consequences of making the move. While
it may look like an excellent way to receive extra cash at a reasonably
low-interest rate, it may not be a right choice for every consumer.
Many people opt for this type of loan to consolidate debt, but you
may want to avoid this option if you have a history of missing
deadlines. Not making payments at all or making late payments will
put you in serious trouble. You might end up losing your home if you
fail to repay the loan after a set amount of time. Therefore, you
should take your time and compare all available options and your
reasons to get extra cash before you use a second mortgage in
Toronto.
• It is equally important to get a good idea of how much amount you
can actually borrow using your house as security. In most cases, you
can get the balance left after subtracting the remaining amount of
your current mortgage and the current market value of your
property.