Private mortgage options
When the Bank Says No: Mortgage Options in Ontario
A bank decline does not automatically mean the file is impossible. It means the file did not fit that lender's rules. The next step is to understand whether the issue is income, credit, property, timing, or risk.
Clear lender-lane review before assuming private money is needed
Plain-English explanation of costs, risks, and exit strategy
Licensed Ontario mortgage review through Open Financial
Start with the reason for the decline
The right solution depends on why the bank said no. A credit issue, self-employed income gap, unusual property, high debt load, or tight closing date each points to a different lender path.
Do not jump straight to private lending
Private mortgages can be useful, but they are usually short-term and higher cost. A proper review compares bank, credit union, B-lender, second mortgage, and private options before choosing the fastest path.
- Can the file be fixed with better income documentation?
- Would a B-lender be cheaper than private money?
- Would a second mortgage preserve a good first mortgage?
- Is there a realistic refinance, sale, or payout exit?
What a good next step looks like
A useful review gives you a short list of possible lender lanes, likely documents, major risks, and the cost questions to ask before committing. The goal is clarity before urgency takes over.
Risks to understand first
- A private mortgage can solve timing but create renewal risk if there is no exit.
- High fees can erase the benefit of fast approval.
- A lender quote is not a commitment until underwriting and conditions are complete.
Common questions
Can I still get a mortgage after a bank decline?+
Sometimes. The next lender will still review income, credit, property, equity, and timing, but a different lender type may fit the file better.
Is a private mortgage bad?+
Not automatically. It can be useful as a short-term bridge, but it needs a clear purpose, cost review, and realistic exit plan.
Can self-employed borrowers recover from a bank decline?+
Often. The file may need bank-statement, stated-income, B-lender, or private bridge review instead of a standard bank income calculation.
How fast can the file be reviewed?+
A first pass can usually happen quickly when the mortgage statement, property details, income picture, and decline reason are available.
Review paths for business owners and contractors.
Private mortgage reviewUnderstand short-term private lending fit and exit planning.
Provided by Garrison Capital Corp., operating as Open Financial. This guide is general information, not a commitment to lend, approve, insure, or fund a mortgage. This page is not legal, accounting, tax, or investment advice.