Whether its $10,000 or $500,000 – Alpine Credits is Your Best Alternative to the Bank

Second Mortgages in Canada

Alpine Credits has been helping homeowners secure second mortgages to cover investment property purchases, medical expenses, and everything in between for over 50 years. If you’ve been turned away by the bank for a loan in Canada, we can help you get the funds you need.

What is a Second Mortgage?

A second mortgage is a loan backed by your owned property, with which you can unlock the equity built in your house without selling it.  With the second mortgage you will be making two payments monthly, one for the original loan and one for the new one. 

Please note that the balance remaining on your original home loan limits the amount you can borrow through a second mortgage. According to federal regulations, your first and second mortgage combined cannot exceed 80% of your home’s appraised value.

Getting a Second Mortgage

Qualifying for a second mortgage is easy. In fact, it’s often your simplest option for covering large expenses as a homeowner. Not all second mortgage lenders have a straightforward approval process, unfortunately, traditional banks are quite stringent regarding loan requirements. Typically, they will expect a stellar credit record and stable employment. This leaves many homeowners without the funds they need to invest, pay for a child’s education, or consolidate debt.

Alpine Credits over the last 50 years has built a reputation as the company where homeowners get approved.

Apply now and receive an application decision within 24 hours. Our primary concern is not your credit score or employment status but, rather, the amount of equity available in your home.

Second Mortgage Rates in Canada, Explained

Visit this page to compare our second mortgage rates with those of other lenders. Note that, as with original mortgages, rates vary depending on personal factors such as the amount you’re looking to borrow.

Sometimes the rates are higher than the original mortgage you had secured. This is because the lenders are taking a greater risk by issuing a subsequent home loan. If you ever become insolvent, your original mortgage lender will always take precedence. Any other lender runs the risk of not getting repaid in full. These rates are  substantially lower than those associated with borrowing against your credit card or any other form of unsecured debt. When it comes to borrowing large amounts of money, they’re unbeatable.

How Getting a Second Mortgage with Bad Credit Works

If you have bad credit, unfortunately you have probably faced loan rejections before,  Alpine Credit helps you secure a loan with bad credit as well and that too in just 24 hours.

Traditional lenders like Canada’s Big Five Banks take a different approach. If you have bad credit yet somehow manage to avoid automatic denial, they will demand further documentation or even a cosigner.

Unless your loan is for something essential, they’ll likely deny you nonetheless. That’s just the reality of working with a major financial institution when you have less-than-stellar credit. Even Canadians with excellent credit scores are increasingly turning to alternative lenders like Alpine Credits for home equity borrowing. They find us – as a smaller, more personable company – easier to deal with.

Wondering where you fall on the credit spectrum? Here’s a breakdown:

  • 300 to 599: Poor. It’s unlikely you’ll qualify for any loan from a major financial institution.
  • 600 to 649: Fair. You still likely won’t qualify for a traditional bank loan.
  • 650 to 719: Good. Prior to COVID-19, you’d likely have qualified for a traditional bank loan in this range. Lending criteria has gotten much stricter, however, meaning it’s possible you won’t. If you do qualify, it likely won’t be for the lowest interest rate.
  • 720 to 799: Very good. In this range, your options begin to open up.
  • 800 to 900: Excellent. If you can’t qualify for a loan in this range, your credit score itself most likely isn’t the issue.

Second Mortgage Uses

Canadians use second mortgages for a variety of reasons, including:

  • Business expenses: If you own a business or want to start a business, a second mortgage against your residential property might be the best way for you to obtain the financing you need.
  • Debt consolidation: Have you found yourself in a situation with multiple expensive monthly debt payments that are difficult to manage? A second mortgage might be the answer as you can pay off the high-interest debt and consolidate your payments into a single lower interest monthly payment.
  • Education: Going back to school doesn’t have to be a long-awaited goal. A second mortgage can help pay for your (or your child’s) tuition expenses and Alpine Credits can help you get the money you need quickly.
  • Home renovation: Home renovations are an excellent way to increase the value of your property or upgrade parts of your home that need some attention. Canadians come to Alpine Credits every day to borrow money for home renovations and if you find yourself in a similar situation, we can help.
  • Taxes: Have you fallen behind on personal, corporate, or property taxes? These could be reasons the bank will not offer you additional financing. However, Alpine Credits can help. As long as you have equity in your home, we can lend you money.

This is just a small list of reasons Canadians love second mortgages. The full list is limited only by your imagination and ambitions in life. Find out what amount you are eligible for now.

Advantages of Second Mortgages

Next, let’s discuss the advantages of using additional loans against your home to cover major expenses.

Canadian house prices have been climbing at a dizzying pace over the past several years. Second mortgages help Canadians capitalize on that growth without having to sell their homes.

When you combine the expensive nature of Canadian real estate with our country’s strict down payment requirements, you’ll reach an undeniable conclusion: a house is the only substantial concentration of wealth many will ever be able to afford.

Second mortgages help Canadians tap into this nest egg much like they would a TFSA or other, more liquid, investment vehicle.

Getting a second mortgage through Alpine Credits is quick and painless – words Canadians don’t usually associate with navigating the financial services sector to borrow hundreds of thousands of dollars.

Private second home loan providers are typically far less strict regarding the potential uses for your money. Whether you’re looking to buy an investment property or travel the world, you can do it with a second mortgage.

Disadvantages of Second Mortgages

No type of loan is perfect for everyone. Here are some potential downsides.

Second property liens typically come with higher interest rates than original mortgages. While they’re still much lower than the interest rates associated with credit cards and other forms of unsecured borrowing, this is worth noting.

The ability to get a second mortgage for just about any purpose can be a double-edged sword. You’ll need to self-regulate, much like you would when tapping into any other large source of equity.

Contact Alpine Credits to Apply for a Second Mortgage in Canada Today!

We’ve been helping people obtain home equity loans for 50 years now. If you’ve been turned away by the bank for a loan in Canada, we can help find the financing you need.

Easy Application – 3 Simple Steps – 24 Hr Approval

1. Apply Online

Using the form on this page or call 1-800-587-2161 to speak to one of our representatives,

2. Get Approved

Approved with 24 hours. Your home equity is the key to your approval. Get approved now!

3. Get Your Funding

We make it easy. Loan funds can be deposited directly into your bank account, once approved.

Frequently Asked Questions

You certainly can! Providers of second liens rarely prevent you from using the money for just about anything.

As long as you’re able to keep up with payments, there’s generally nothing wrong with having two mortgages. Speak with one of our loan advisors for a more thorough analysis of your financial situation.

On its own, a second mortgage does not hurt your credit. If you use it recklessly, it certainly could. However, this is a fact with any type of loan. Debt can be a powerful tool when used correctly; it’s not damaging in and of itself.

Closing costs vary based on the amount you’re borrowing; you’ll typically pay a few percentage points. Contact us for more details.

Loan Examples*



*Disclosure on “Loan Examples” Above

Alpine Credits’ intent is to always have full disclosure on all of our loan offerings. Borrowers are provided with all necessary disclosure prior to entering into any obligation. Our objective is to offer Canadian home owners an alternative to the banks and credit unions (not a replacement). Typically, you will find our rates to be higher than the banks; however, with this in mind, we are usually more efficient than the banks in getting you your money and may lend in situations where the banks (and other traditional lenders) will not. Once we have provided you with all necessary information, the decision will be left with you as to whether or not you wish to proceed with our offer. Thank you for your consideration. We look forward to speaking with you soon.

All of the above examples are for discussion purposes only. It is important the reader is aware that the examples may represent the lower priced range of our product offerings. Rates on our loans are subject to change and may vary (up or down) based on the equity you have in real estate, the state / condition / location of your real estate, your personal financial situation and the Canadian mortgage market. The examples are all based on interest only monthly payments (you may elect to pick a shorter amortization to pay off your loan sooner) in which the rate in year 2 increases to the prime rate plus 3.75% and the prime rate plus 6.00% for the first and second mortgages respectively. The Cash Advance in all of the loans above represents the net amount of money to be received. The “Gross Amount” for the $100,000 / $300,000 / $25,000 / $50,000 loans in the examples above are $110,500 / $327,900 / $29,500 / $58,140 respectively. The difference between the Gross Amount and Net amount represents closing costs which includes items such as legal fees, appraisals, brokerage fees, etc. (“Fees”). The APR will increase / decrease in the event of higher / lower Fees. Once again, thank you for your consideration.