Canada’s federal consumer watchdog, the Financial Consumer of Agency of Canada, just released a complete update of its quides to home mortgage products: The ABC’s of Mortgages Series. The ABC’s Guides are informative, yet perhaps all-too-succinct, guides to a range of mortgage products and issues – from first mortgages, mortgage refinancing, home equity loans, second loans and secured home equity lines of credit.
The Financial Consumer Agency is a good initial guide to homeowners or homebuyers who are unsure of what mortgage products are on the market, and – perhaps, more importantly – how these products work.
Being informed of available mortgage products and how they work is, of course, essential to sound financial management. FCAC Commissioner, Ursula Menke, observes, “We cannot stress enough how important it is [for consumers] to shop around before signing a mortgage agreement.”
The ABC’s of Mortgages (and the FCAC website itself) is an informative resource of basic mortgage information – particularly for mortgage products that may not be as well known as others, such as a home equity loan or a home equity line of credit – it is, however, of necessity limited due to the many different forms of mortgage products that are available on the market.
While starting at the FCAC site and reading their ABC-s Guides is a good start to arming yourself with the information you need to know when entering into a mortgage agreement, consulting a knowledgeable and reputable mortgage broker who can find you the product that best suits your need – and explain it to you in plain English, rather than legalese – may prove to be one of the best mortgage decisions you make.
