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Originally Posted by Schraderbrau
I am all about finding the best rate going when I mortgage but I try to stick with larger mainstream financial institutions. Something about borrowing from small lenders scares me. I'm sure they are alright but I am a cautious person when it comes to stuff like this.
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What scares you about small lender? I've heard many people say this, and even a mortgage broker I've used goes on how small banks that offer really low rates are terrible. I just figured it was because he got a better commission with a big bank. I'm not doubting your concerns; I've just never thought to look into what they are.
My current house that I sold was financed with NBC. The house I'm about to take possession of will have an RBC mortgage and my rental property has a TD mortgage. I haven't gone with small banks either, but I am curious as to why you'd be wary of them from a mortgage point of view. Is it because of a worry that they wouldn't be able to fund the proceeds at closing? I understand being concerned of small banks not having enough funds to cash out a very large deposit, but I'd always think they'd be able to take a mortgage payment from me.