Private Mortgages in Ontario: A Complete Guide

When traditional banks say “no,” private mortgages can often say “yes.” Private mortgages in Ontario offer fast, flexible financing for homeowners, investors, and self-employed borrowers who don’t meet standard lending criteria. Whether you need short-term funds, want to renovate, or are dealing with a unique financial situation, private lending can unlock opportunities that banks can’t.

A private mortgage is a mortgage loan from an individual, company, or investment group rather than a bank. They fund quickly—often within days—and rely more on your property’s value and equity than on perfect credit or traditional income. Homeowners commonly use private mortgages for self-employed income challenges, credit issues, real estate investments, bridge financing, renovations, or urgent cash-flow needs. Though more expensive, they offer speed and flexibility.

Eligibility usually depends on your home equity, property condition, reason for financing, and overall debt load. Private lenders are often willing to approve borrowers with non-traditional income or credit challenges. Rates typically range from 8%–15%, with one-year interest-only terms and 2%–5% in fees, making these loans best suited for short-term needs.

Private mortgages are powerful tools, but they come with risks such as higher interest costs and shorter repayment timelines. Working with an experienced mortgage broker ensures you understand the structure, costs, and exit strategy before moving forward. Mortio Financial helps clients compare lenders, prepare documentation, and structure private financing tailored to their goals.

A private mortgage isn’t the right fit for everyone, but it can be an excellent solution when speed and flexibility matter most. 

Mortio Financial specializes in helping Canadians access clear, reliable private mortgage options that support their financial and property goals.