Most homebuyers need a mortgage and it's therefore important to comparison shop. Terms and conditions differ from lender to lender, so do shop around, compare, and select the mortgage that best suits your needs.
The Financial Services Commission of Ontario (FSCO) - the government agency responsible for overseeing the mortgage brokering industry in the province - suggests taking as much time as needed to understand all your options. When talking to a potential mortgage provider, broker or agent, for example, you may wish to use this checklist to get answers to the most important questions.
What type of mortgage is best for my needs?
- A fixed-, variable- or adjustable-rate mortgage
- An open, closed, or convertible mortgage
What mortgage features and options are best for me?
- A short - or long-term mortgage
- A short or long amortization period
- Frequent or less-frequent mortgage payments
- The ability to make prepayments or lump-sum payments
- The option to transfer your mortgage to another home
How will different factors influence the total cost of my mortgage?
- How can I save on interest charges?
- How can I change the amount of my mortgage payments?
- What fees are involved in setting up, discharging, or renewing my mortgage, and how are they calculated?
- What are my options if I cannot make a payment?
- Is there a fee if a payment is late?
- What penalty charges apply if I want to break or renegotiate my mortgage contract?