“Construction mortgages? Wait really? You guys will do them?” Simple answer, yes!! We hear it all the time from brokers. The shock, the surprise, the cautious optimisim. But the good news is, yes, we are a MIC that will lend on construction mortgages. In fact, we do a lot of them. But there’s a caveat: we’re not underwriting these like a normal MIC mortgage. Yes, we offer Construction Mortgag...

If the home has sufficient equity to pay out debts that are at higher interest rates than our mortgage rates, it just makes sense to bundle them. We want to make sure there is an exit strategy to move to a more traditional lender with a year or two.

Banks and even Alt-A lenders have personal Line 150 (L15000) minimum debt servicing requirements. We don’t. Instead, we understand that income can come from different places, or even just be left in a corporation. If we can be shown that mortgage payments can be supported, and our other requirements are met, we’ll consider it.

We’re willing to consider any and all properties located in our lending areas so long as the expected days on market makes sense against the loan to value. That means we’ll consider true unserviced bare land, tree-forts, mobile homes with additions surrounding the entire unit and everything in between.

Borrowers want to close on a new home before selling the current one? Current sale fall through? We lend interalia in open-term mortgages across both properties to allow the deals to close. Max LTV across both cannot exceed 70%.

We will lend on commercial properties throughout BC. Our major concern is an ability to pay the mortgage and confirmation of no environmental contamination. If those risks can be mitigated, we can lend.

A mortgage to help cover the costs of a subdivision. Usually a land advance to cover the first phase of development costs (hard costs) as well as the soft costs. Historically, Tekamar did many subdivisions across rural BC. Unfortunately, with the higher risk, we have since canceled our subdivision program and no longer do subdivision/development mortgages.

“Equity lending? But they don’t qualify income-wise…” Simple answer: that’s exactly why we exist. We hear it all the time from brokers. The frustration, the “what now?” moment when your client has tons of equity but can’t check the income or credit boxes that banks and credit unions demand. But here’s the thing: equity tells a story that a T4 slip never will. And we’re fluent in that language...