Home Loans

Are you looking for a mortgage for your first home?

Do you want to purchase a vacation home?

iCare Finance can facilitate a home loan befitting your capital needs. Our comprehensive financing portfolio can accommodate your custom financing requirements and streamline the entire mortgage process.

If you’re a first-time homebuyer, our team will identify local or federal grants, aids that you may qualify for. Similarly, if this is an investment property or portfolio loan, we’ll find out the best commercial lenders.

We have put together a list of our home loan solutions for your understanding. Going through these will help you gain a fair knowledge of each of these financing options and choose the right one for your purchase.

BASIC

Basic home loans are an ideal financing option for first-time homebuyers. These loans come with reasonably simple features, lower processing fees and affordable interest rates in comparison to other loans.

There are some limitations though including limited flexibility, additional processing charges for special requests or pre-closure of the loan.

FIXED RATE

Fixed-rate home loans offer financial certainty for first-time homebuyers. You can lock-in lower interest rates during favourable market conditions, and save thousands of dollars in interest payments through the loan term. Additionally, fixed-rate home loans protect from market volatility or other macro-economic factors that might affect interest rates.

The only drawback of fixed-rate loans is that your interest rates remain the same even in the event of a further decline in the borrowing rates.

VARIABLE RATE

Variable rate home loans are quite popular among both first-time homebuyers and savvy investors. These loans allow you to leverage any changes in the interest rates to your favour.

It is critical to note that while you might save interest payments in a low-interest environment, but a high-interest period could incur additional costs as well.

LOW DOC

If you’re a part of the growing Gig Economy or work as a self-employed professional, Low Doc home loans are a perfect match. Low Doc loans are designed to minimise documentation for professionals and self-employed individuals. Low Doc provide economic inclusion to independent workers who would otherwise rely on secondary market financing.

Considering a higher risk proposition for the lender, Low Doc loans come with a higher interest rate. You may require a lenders’ mortgage insurance for a Low Doc loan.

SPLIT RATE

If you want a flexible financing option that offers the certainty of fixed loans while providing the benefits of variable interest rates, go with a split rate home loan. Under split rate loans, the lender divides your mortgage into two portions, with one incurring fixed interest rates and the other taking advantage of variable interest rates.

INTEREST LOAN

Interest-only home loans are designed for borrowers who require capital for a shorter period. These loans allow you to make only interest payments for a fixed-term, post which you can either convert it into a conventional mortgage or pay off the entire amount at the end of the term.

Interest-only loans are a popular choice among borrowers seeking capital appreciation or expecting a considerable inflow of money within a short period.

REVERSE MORTGAGE

A reverse mortgage is designed to provide access to the financial value locked in a property. The borrower doesn’t have to repay anything until the home is sold or the borrower passes away.

Reverse mortgages take into account the value of the property, its appreciation over time, mortgage amount, interest payments, and the mode of payment distribution. The borrower can take a lumpsum payment or structure payments like an annuity.

INTRODUCTORY RATE

Many lenders offer reduced interest rates for a limited time at the beginning of your loan. Also, known as a honeymoon rate, the low-interest rate generally applies to the first 6 to 12 months.

The interest rates can be fixed or capped. The advantage is the rates can be lower than the standard variable rate, however, you should be aware that there is generally a catch with introductory rates. Usually, after the end of the introductory period, the rate returns to a variable rate that can be higher than the normal variable rate.