Given the current outbreak of Covid-19, we hope that you all are healthy and safe during this time. While our office is closed, our SMC staff is working remotely and it’s still business as usual, with some longer than usual wait times.
Below are the answers to frequently asked questions we are receiving during this time. Should you still require assistance please reach out to us at mortgages@searchrealty.ca or 647.847.5559.
Requesting A Mortgage Payment Deferral
Relief and potentially deferred payments are available for those experiencing financial difficulties.
You can contact your mortgage lender directly to seek a deferral and begin the qualification process.
To assist you, we have provided the contact numbers below:
Scotia 1 800 275-5897
First National 1 800 465-0039
TD 1 866 222-3456
Merix 1 877 637-4911
MCAP 1 800 265-2624
Meridian 416 597-4444
Equitable 1 866 407-0004
CMLS 1 888 995-2657
Home Trust 416-775-5000
You can also log in online to your lenders online portal, send a message and request for payments to be deferred as per COVID-19 income interruptions.
You can also find more information Dealing with Mortgage Payment Difficulties here.
If you are unable to defer your payments or require assistance, we are always here to help in any way we can.
Will My Credit Score be Affected By Deferring My Mortgage Payment?
This depends on your lenders’ process for deferring payments.
Some banks already have a process in place to skip payments, because this is a feature in their existing mortgages. Their systems can process the skip payment and do not report it to the credit bureau.
Other banks who do not have this system in place, while they are allowing the skip payment, their system will automatically try and process the payment. Once it “bounces” the lender adds it back to the principal mortgage but the automated process in place is to report the “bounced payment” to the credit bureau.
If your lender does not have an existing skip a payment option, ask for a letter confirming you are “approved” to skip the payment due to their situation during Covid-19. The missed payment will still be recorded on your credit bureau, however, when you go to apply for credit in the future, you can show proof this was approved by your lender given the current situation and not personal negligence.
What will happen to buyers’ about to close on a home, but find out they’re being laid off temporarily?
Lenders are taking this case by case. Lenders are looking at the likelihood of the buyer returning back to work after this is over and their tenure within the company/industry. We are advising all buyers to provide all documentation upfront, upon application, to satisfy all of the lenders’ conditions as soon as possible.
Lenders may inquire about how the buyers’ job has been impacted by COVID-19. Showing whether the buyer works in an essential service or is still making an income can confirm stability during this time.
Other Helpful Resources
Re-evaluating Your Existing Mortgage
If you would like to re-evaluate or your existing mortgage, refinance or renew, please feel free to contact us at mortgages@searchrealty.ca