Buying a home or refinancing your mortgage is one of the most significant financial decisions you’ll ever make, and having the right mortgage broker by your side in Ottawa can make or break the experience. But many homeowners unknowingly make critical mistakes that can cost them thousands. In this blog, we break down 5 of the most common mortgage mistakes Ottawa residents make, and how to avoid them.
1. Going Straight to the Bank Instead of a Mortgage Broker
The Mistake: Many first-time buyers or those looking to refinance go directly to their bank, assuming it’s the easiest or most affordable route.
Why It’s Costly: Banks only offer their in-house products. That means you’re missing out on potentially better rates, more flexible terms, or unique solutions available through alternative lenders.
The Fix: A mortgage broker in Ottawa has access to multiple lenders, including private and alternative lenders, giving you more options and negotiating power.
2. Ignoring Pre-Approval Details
The Mistake: Getting a pre-approval but failing to understand its limitations, or worse, assuming it’s a guaranteed approval.
Why It’s Costly: You may fall in love with a home only to find out your financing doesn’t cover it, or your rate isn’t locked in.
The Fix: Work with a mortgage broker who explains the fine print, such as how long the pre-approval lasts and what financial factors can still change your approval status.
3. Overlooking Hidden Fees and Closing Costs
The Mistake: Budgeting only for the down payment and monthly mortgage, without accounting for closing costs, appraisal fees, or legal fees.
Why It’s Costly: These unexpected expenses can put you in financial strain or delay your closing.
The Fix: A seasoned Ottawa mortgage broker will walk you through a full cost breakdown so there are no surprises at closing time.
4. Not Leveraging Home Equity Properly
The Mistake: Sitting on home equity while carrying high-interest debt from credit cards or personal loans.
Why It’s Costly: You end up paying more in interest when your home equity could offer a lower-rate solution.
The Fix: Talk to a broker about a home equity loan or second mortgage. Ottawa’s rising home values could mean you qualify for better terms than you think, even with bad credit.
5. Waiting Too Long to Refinance When Rates Drop
The Mistake: Watching mortgage rates fall and delaying action, thinking they’ll drop further.
Why It’s Costly: You could miss out entirely as rates rise again, or find yourself rushed into a refinance without time to compare options.
The Fix: Get in touch with a mortgage broker early and have a plan in place. Brokers monitor the market and can alert you to the right timing for a refinance.
Why Choose a Local Mortgage Broker in Ottawa?
Working with a local mortgage broker means they’re not just familiar with national lending rules, they also understand Ottawa’s unique real estate climate, municipal fees, and the lender products tailored to local homeowners.
At Burke Financial, we specialize in helping Ottawa residents with bad credit, urgent closings, and complex financial histories access the funds they need, often in as little as 24 hours.
Final Thoughts: A Better Path Forward
Whether you’re buying your first home, refinancing your mortgage, or consolidating debt, working with the right broker helps you avoid common financial traps. Don’t leave your future to chance. Avoid these costly mistakes, and you’ll be well on your way to a financially stable future in Ottawa.
Call to Action (CTA):
Ready to talk to an award-winning mortgage broker in Ottawa?
Contact Burke Financial today for a free consultation and find out how much you could save.
📞 1-866-702-9394 | 🌐 www.burkefinancial.ca
