Mortgage FAQ — Your Questions Answered

I get asked a lot of the same questions. Here are honest, straightforward answers — no jargon, no sales pitch. If your question isn't here, call or text me directly at 519.670.3205.

The Basics

What does a mortgage broker do?

A mortgage broker shops your mortgage application to multiple lenders on your behalf — banks, credit unions, monoline lenders, and private lenders. Instead of you going to five banks and getting five different answers, I do that work for you and bring you the best options. I'm paid by the lender when your mortgage closes, so there's no cost to you in most cases.

Is using a mortgage broker free?

For most clients, yes — completely free. Lenders pay brokers a finder's fee when a mortgage closes. In some cases (self-employed, credit challenges, private lending), a broker fee may apply — I'll always tell you upfront before we go anywhere near an application.

What's the difference between a mortgage broker and a bank?

A bank can only offer you their own products. A mortgage broker has access to 20+ lenders, so you're getting a real comparison rather than a single institution's best offer. Brokers often beat bank rates — especially for self-employed clients, those with variable income, or anyone the bank considers non-standard.

Why use a broker instead of going straight to my bank?

Your bank's goal is to sell you their mortgage. My goal is to find you the best mortgage available. Those are not the same thing. I've seen clients come to me after their bank declined them and we had them approved within days. I've also saved clients thousands of dollars on renewals they were about to sign without shopping around.

Getting Approved

What credit score do I need to get a mortgage in Ontario?

The minimum credit score for most insured mortgages (under 20% down) is 680. With 20% or more down, some lenders will go as low as 600. That said, credit score is just one piece — income, down payment, and property type all factor in. If your score is lower than you'd like, let's talk. There are lenders who specialize in credit-challenged files, and there are often quick wins that can improve your score before you apply.

How much down payment do I need?

In Canada, the minimum down payment depends on the purchase price:

Under $500,000 — 5% minimum
$500,000–$999,999 — 5% on the first $500K, 10% on the remainder
$1,000,000+ — 20% minimum (no mortgage insurance available)

Down payment can come from savings, a gift from a family member, RRSP (First Home Buyers' Plan), or a combination. I'll help you figure out what works for your situation.

How long does mortgage approval take?

A pre-approval can typically be done within 24–48 hours. A full approval after you have a signed offer usually takes 3–5 business days, sometimes faster. If you're on a tight timeline, tell me upfront and I'll work around your schedule. I respond same-day — you won't be left waiting.

I'm self-employed. Can I still get a mortgage?

Yes — and this is exactly where a broker adds the most value. Banks are notoriously difficult for self-employed applicants because they look at net income after write-offs. Many of my self-employed clients qualify for more than they expect when we use the right lender and the right approach. There are lenders who specialize in stated income and business-for-self programs. Let's talk before you assume the answer is no.

I was declined by my bank. Can you still help?

Often yes. Banks have conservative lending criteria and they only offer their own products. A declined bank application is not the end of the road — it's a signal to look elsewhere. Depending on why you were declined, there may be options through alternative lenders or private lenders. I'll give you an honest answer and a clear path forward.

Rates and Costs

What's the best mortgage rate right now?

Rates change daily and depend on your specific situation — credit score, down payment, property type, amortization, and whether you want fixed or variable. I don't publish rates here because an advertised rate is often not the rate you'll actually get. Call me and I'll give you a real number based on your actual file — no guesswork.

Should I choose fixed or variable rate?

This depends on your risk tolerance, budget flexibility, and where rates are heading. A fixed rate gives you certainty — your payment doesn't change. A variable rate can save you money if rates drop, but your payment can increase if rates rise. There's no universally right answer. I'll walk you through the math on both and help you decide what fits your life.

What is CMHC mortgage insurance and do I need it?

If your down payment is less than 20%, your mortgage must be insured through CMHC, Sagen, or Canada Guaranty. The insurance premium (0.6%–4% of the mortgage amount, depending on your down payment) is added to your mortgage balance. It protects the lender — not you — but it allows you to buy with a lower down payment. It's not optional if you're below 20% down.

What other costs should I budget for when buying a home?

Beyond the down payment, budget for:

Land transfer tax (Ontario) — roughly 1.5% of purchase price
Home inspection — $400–$600
Legal fees — $1,500–$2,500
Title insurance — $200–$400
Home insurance (required before closing)
Moving costs

First-time buyers may qualify for a land transfer tax rebate of up to $4,000. I'll make sure you know what to expect before closing day.

Renewals and Refinancing

Should I just sign my bank's renewal offer?

Almost certainly not — at least not without shopping it first. Banks typically send renewal offers at rates above what's available in the market, counting on the fact that most people don't bother switching. A 15-minute conversation with me can save you thousands over your next term. I'll compare what your bank is offering against what's available. If your bank wins, great — you'll know you made the right choice. If they don't, you'll save real money.

What is refinancing and when does it make sense?

Refinancing means breaking your existing mortgage and replacing it with a new one — usually to access equity, consolidate debt, or get a better rate. It makes sense when the interest savings or financial benefit outweigh the penalty for breaking early. Common reasons: consolidating high-interest credit card debt into your mortgage at a much lower rate, accessing equity for a renovation, or locking in a significantly better rate.

What is a HELOC?

A Home Equity Line of Credit lets you borrow against the equity you've built in your home, up to 65% of its value (combined with your mortgage, total can't exceed 80%). It's flexible — borrow what you need, when you need it, and only pay interest on what you use. Good for ongoing expenses like renovations or education. Not all lenders offer HELOCs and qualification criteria vary. I'll help you figure out if it's the right tool for what you're trying to accomplish.

Working with Tyler

Where are you located and who do you serve?

I'm based in Strathroy, Ontario (2 Front St W) and I serve clients across all of Southwestern Ontario — London, St. Thomas, Chatham, Sarnia, Woodstock, Stratford, Windsor, and dozens of communities in between. Everything can be handled remotely — phone, email, and digital signing. You don't need to come to an office.

Are you licensed?

Yes. I'm licensed with the Financial Services Regulatory Authority of Ontario (FSRA), Licence #12360, operating under Dominion Lending Centres National Ltd. You can verify my licence at fsrao.ca.

How do I get started?

Call or text me at 519.670.3205 or email tyler@stillermortgage.com. There's no obligation and no cost for an initial conversation. I'll ask you a few questions, tell you where you stand, and outline your options. Most people leave that first call with a clear picture they didn't have before.