signing papers

Myths about Mortgage That You Should Stop Believing

A mortgage is very crucial and beneficial when it comes to owning your own home. However, many people struggle to find the right mortgage for them because of the many misconceptions they believe. To learn the truth behind these common misconceptions, keep reading below.

1. Good Mortgages Are More than Just Their Rate

Many people will make the mistake of just focusing on the rate of the mortgage when it is much more than that. The rate of your mortgage is definitely important. However, you also need to consider down payments, closing costs, your interest rates, and other points when you are deciding on a mortgage. All of these are important factors that will determine whether or not a mortgage is the right one for you.

2. Mortgage Brokers Do Not Usually Charge Fees

Some people believe that mortgage brokers charge fees. However, most of the time, they will not charge the client a fee. Instead, they earn money by getting a finders fee from the mortgage lender directly, and this should not be directly taken upon the client. So, if you are hesitating whether to get a broker or not because of possible fees, you can check with them. They most likely do not charge anything or will only have a very minimal fee, if ever.

3. The Ottawa Mortgage Market Is Stable

Ottawa residents are concerned about the supposed bubble that could topple over the mortgage market. However, the truth is that the bubble does not exist, despite what many people think. The mortgage and real estate market in Ottawa is stable and is not something that would topple over any time soon. Instead, the real estate bubble is centred in Toronto and Vancouver, but even then, it is not too big of a bubble to be a major concern for you.

4. Reverse Mortgages Are Not Bad

This is a huge misconception that many people have. Many people who have heard of reverse mortgages assume that they are bad for the elderly. However, this is not the case at all. Reverse mortgages are basically a loan given to the elderly so that they are able to live comfortably in their elderly years when they are no longer working. This loan can be paid off anytime and does not need to be necessarily repaid immediately while the client is alive and living on their property. It works out well for them to do things they want without worrying about their finances, and their property remains in their names, as well.

5. Bank Loans Are Better

This is not necessarily the case. In fact, bank loans are more difficult to deal with as they often have a standardized process that they follow, which makes it more difficult to appeal to them in case you face an emergency. They may also require a lot more documents and could be stricter when it comes to qualifications.

Mortgage lenders are often more forgiving and flexible. There are also many mortgage lenders out there, giving you many choices when it comes to your mortgage needs.


Buying a home is an important decision. Having a mortgage is a good way to make your dream of owning a home come true. As long as you are aware of the common misconceptions, you will be able to make the right decision for yourself and your family.

If you are looking for mortgage services in Ottawa, then you can contact Ottawa Mortgage Services. We are a mortgage agency that will be glad to assist you with pre-approvals, refinancing, and debt consolidation. Get in touch with us to learn more.

debt consolidation

3 Common Mistakes to Avoid When Consolidating Debt in Ottawa

Juggling different debts can often feel like sinking into financial quicksand, one that draws you in deeper with few ways out. Debt consolidation can help you gain a grasp on your finances, but if you make certain mistakes, you could be sinking deeper.

It’s crucial to research and understand debt consolidation before you decide to take out a loan. In the long run, debt consolidation may save you money in interest payments, but you could be sacrificing valuable time and income to pay it back. 

In the first place, if you don’t understand how a debt consolidation loan works, you could end up living in debt for years to come. With that in mind, the list below sheds light on the common mistakes people make when consolidating debts, so you can make well-informed decisions moving forward.

Mistake #1: Not Knowing What Got You Deep into Debt

The key to solving a problem is to address the root cause, but if you don’t know what caused you to rack up a huge amount of debt, then you could have a long road ahead. After all, how can you be free from debt if you don’t fix the spending habits that got you there in the first place? 

Debt consolidation acts like a band-aid solution, so it’s important to understand the source of all your financial problems. It’s easy to take out a loan and forget about it, but once you default on the loan and face the consequences, you have to start all over again to pay off your debt.

Mistake #2: Not Exploring Different Consolidation Options

The first thing you need to do when you decide to consolidate your debts is to explore all of your options. In the end, you could end up saving yourself a lot of time and money.

If you only have a small amount of debt, then you may consider a balance transfer credit card to help you consolidate your debt. This is a great option because you will be able to pay off your credit card debt easily, plus you could save a good amount of money on interest fees.

That being said, if you have a lot of debt, then you may want to consider a debt consolidation loan. This is probably the easiest way to consolidate all of your debt because you’ll be skipping all of the hoops you would have to jump through with a balance transfer credit card.

The key is to find a debt consolidation option that suits your circumstances and financial needs.

Mistake #3: Failing to Improve Your Financial Relationships

It’s easy to get caught up in the financial transactions and the paperwork of debt consolidation, but if you don’t improve your financial relationships, you may end up back in the same situation down the line.

Instead of simply paying off your debt, you should use the opportunity to learn from your mistakes and improve your financial situation. This can be as simple as educating yourself on how to manage your money properly, or it could require a change in your lifestyle, such as making room in your budget to pay off your debts.

The Bottom Line: Debt Consolidation is Not the Solution to All Financial Problems, So Use Your Financial Relief Options Wisely 

Many people mistake debt consolidation for a miracle solution to all of their financial woes, but that isn’t the case. It’s essential to learn how a debt consolidation loan or a balance transfer credit card works, because if you don’t know what you’re getting into, then you could end up in the same situation down the line.

With that in mind, you should think about consolidating your debt as a short-term fix, that will give you the time and the money to improve your financial situation.

How Can We Help You?

Finding and buying a home can be tricky, especially when you put your finances into the picture. Fortunately, with the help of Ottawa Mortgage Services, buying your home for the first time won’t be such a pain. 

Our expert mortgage agent in Ottawa Mortgage Services helps first-time homebuyers discover the different possibilities in home buying, get pre-approval letters, obtain assistance for refinancing, offer debt consolidation, and more. Looking for a mortgage? Apply for one today!

people shaking hands

What to Know About Switching Jobs When Applying for a Home Loan

Buying a home is a big step. It’s one of the most significant financial investments you can make. So there is an apparent reason most people wait until they’ve found a home before changing jobs. If you do find yourself in this position, where you have to get a new job during the process of buying a home, here are some tips on how to handle the situation.

Know the Nature of the Job You’re Planning on Taking

This may sound like a no-brainer, but it can make a difference when it comes to affordability. There are some jobs out there that have no downtime. There are jobs that require 24 hours a day, seven days a week. Those are the kinds of situations you want to avoid.

You don’t want to buy a house and then find out you have to move less than a year later because you have to find a job closer to the company you’re working for.

Know What to Show Your Lender

A lender is going to want to see a written job offer, and that can be the biggest problem. Finding a job that gives you a written offer right off the bat is going to be tough. You want to look for jobs that offer the ability to start and move on to a written offer later.

If you’re willing to start and then be transferred to a different region after a certain amount of time, that’s the best option. It shows you’re willing to work and willing to follow the company and help them out.

Know What Could Hurt Your Mortgage Application

There are a few things that could hurt your application should you decide to switch jobs when buying a home. Some of them are:

  • A lower salary: If your salary is going to be considerably less after the job change, chances are the lender is going to be a bit wary. You know there’s going to be less income coming in, and you’re going to need to readjust your budget accordingly.
  • Industry: A job in one of the industries on the high-risk list, such as in construction, manufacturing, or the airline industry, may be harder to secure financing. They do want to see a stable job and the secure income that comes with it.
  • Probationary period: The probationary period is the waiting period between being offered the job and signing the contract. It’s usually only a couple of weeks, but it could throw a wrench in the process.

When in doubt, ask your lender about moving jobs during the mortgage process. Or go with a lender who understands the situation and is willing to work with you. Either way, you want to find a lender that’s willing to work with you on your situation.

The Bottomline

In the end, if you make the right decisions, there is no reason you can’t buy a home even when changing jobs. Just make sure you’re talking with your lender and mortgage broker to make sure you’re going to find a job that’s going to match your home mortgage.

Ottawa Mortgage Services is your mortgage specialist in Ottawa. We also help with refinancing, pre-approvals, and debt consolidation. Get in touch with us today.

working on papers

Mistakes to Watch Out When Applying for a Mortgage

Purchasing your dream home is exciting. But you need to apply for a mortgage to turn your dream into reality. Perhaps you want to buy a small fixer-upper and make it your own. You build up some equity as you improve it. Or maybe you want to buy a larger, more expensive home to raise your family. Whatever your dream, you will have to apply for a mortgage.

Here are mistakes you need to avoid when applying for a mortgage:

1. You Do Not Know the True Cost of the Mortgage

It is easy to obtain a mortgage, but it is also easy to overspend. Many people do not truly understand the actual cost of their mortgage.

Many first-time homebuyers mistake asking how much they can afford, not how much the mortgage will cost. It does not matter what the money is worth. You need to make the payments on time. Therefore, it is essential to know the actual cost of your mortgage.

A mortgage can become costly very quickly. You also need to consider taxes, insurance, and private mortgage insurance. There are a lot of hidden costs that you need to consider.

2. You Co-sign for Others

There is a growing trend of young people who are co-signing for parents or friends. If the parent or friend has a poor credit history, the bank is not likely to give that person credit. But, if the parents or friend has a good credit history, it does not make sense to co-sign for that person.

For example, your parents want you to co-sign for a mortgage. The bank will not give them a loan because of their credit history. You, on the other hand, have an excellent credit history. The bank will be more likely to accept your application. However, if you co-sign on this mortgage, you will be responsible for it and the monthly payment.

If you have good credit, the bank should be willing to give you a loan. If they will not, you do not have to co-sign for someone.

3. You Should Max Out Your Credit Cards

Between the home purchase and selecting new furniture, you will have a lot of expenses. You need to get a credit card to cover these expenses.

Many people think they need to max out their credit cards to get a better score. However, this will just hurt your credit score. Instead, you need to only use a little bit of the credit limit on your credit card.

When you pay off the credit card on time, you will build up your credit score. This will help you get approved for a mortgage later on.

4. You Do Not Do Your Homework

When looking for a home, you need to search for the right one. You have to consider what you can afford, your location preferences, the size of the house, and so on.

Many people do not do their homework and apply for a mortgage for a home they cannot afford. You need to do the math to see if you can afford the home. It is crucial to consider the cost of housing, the monthly payment, and the extra costs.

You also need to research and find a lender that you can trust. It would help if you ensured that the lender is reputable and has a good reputation.


A mortgage is a big decision. You will have to make regular payments for a long time. If you make a mistake, the costs can add up quickly. You can incur high penalties and other fees.

If you are looking for the best refinance rates in Ottawa, Ottawa Mortgage Services is here to help you. We are ready to provide mortgage agent services. Apply now!

house keys

Common Mistakes First-Time Homebuyers Should Avoid

First-time homebuyers should conduct their homework before making a final decision. Even if you seek advice from family, friends, and coworkers or read a few articles on the subject, you may still make some mistakes along the way.

In fact, 80 percent of first-time homebuyers say they’d rather do it all over again if they could.

This article will run you through some common mistakes first-time homebuyers make.

Not Looking beyond the Staging

This is common knowledge. It’s a common adage, especially among those who say they can see past the dated wallpaper to the house’s true capabilities. When prospective buyers begin to notice the difference between staged properties and their real-life counterparts, reality sets in.

In its most basic form, home staging is the process of decluttering and rearranging the furnishings of a property to make it more desirable to potential buyers. A staging business may redecorate the entire house after the seller has removed practically all of their possessions. 

A huge concern is that this imagined manner of living and how we actually live in a home don’t match up very well. Stagers frequently remove items like coffeemakers and blenders off worktops to make them appear larger. 

Some people may even go so far as to remove doors to make older homes appear more open and breezy. Stagers can also use tiny furniture to amplify the appearance of a place.

Getting Distracted

Shopping for a home with children may be a real challenge. Parents may cancel a scheduled showing to take their cranky toddler back to their apartment for a much-needed nap and relaxation.

Viewing houses with children might make you overlook important details. It can also lead to resigned behaviour, such as bidding and finally settling on homes out of desperation instead of waiting for the one that best meets your needs.

Trusting the Floor Plans

It is common for people to think that if a room is described as being 12 feet by 10 feet, it is the same size. As a rule of thumb, though, the measurements can get slightly inaccurate. Several faults can be introduced without the seller or their representative intending to mislead.

Not Looking into the Neighborhood

A factor often overlooked in home purchasing is your home’s neighbourhood. Before you buy, make sure you do your homework about the area. You may want to look into the following amenities you may need:

  • Schools
  • Community centres
  • Daycares
  • Coffee shops
  • Take-out places

You may also need to look out for the quality of residents in the area, especially if you have a family and kids.

Not Asking for Comparables

If you are buying a property, it is best to list other comparable properties in the area. If you hire a real estate agent, they can also come up with this list for you.

A good realtor will gladly accommodate these requests and provide context for the sale prices. This will ensure you get the best option within the area and your budget.

Likewise, a mortgage specialist can help you find the best mortgage prices to purchase your home.


These common mistakes first-time homebuyers make can turn into costly lessons. While there is no surefire way to avoid mistakes as a first-time homebuyer, you can at least lessen the chances of these mistakes.

It helps to do some homework and hire a reliable real estate agent.

Are you looking for local mortgage brokers in Ottawa to help you purchase your new home? Ottawa Mortgage Services helps first-time homebuyers, self-employed individuals, and commercial clients secure the properties they need.