Mississauga, Ontario (March 28, 2003) – Mortgage Intelligence Inc., Canada’s largest mortgage broker, is eliminating some of the financial obstacles to second home ownership with the irelax mortgage.
The i relax mortgage product is the first of its kind in Canada. It offers rates and features that are currently unmatched in the industry on owner-occupied recreational properties, including ski chalets, cottages, and non-winterized or seasonal properties with year-round access in known vacation areas.
Features of i relax include:
“Secondary properties are generally considered less than desirable for traditional lending institutions,” says Bob Ord, President, Mortgage Intelligence. “These purchasers are often advised to take out an equity loan or place a second mortgage on their principal residence to finance their recreational property. With i relax, Canadians can bypass conventional lending criteria and open the door to ownership.”
The new mortgage product, one of several niche products recently introduced by Mortgage Intelligence, will allow for easier access to ownership as Canadians gear up for another strong recreational property market.
Despite greater affordability levels, ownership patterns have changed very little over the past 30 years, according to the Survey of Financial Security produced by Statistics Canada. In 1999, approximately 7 per cent of households (823,000) owned vacation homes, up from under six per cent of households (464,000) in 1977. Although there was an increase in the overall numbers, as a percentage of the population, growth has been limited.
However, aging baby boomers are expected to fuel demand for recreational properties and the irelax mortgage product (the average age of vacation home owners in Canada is 52). The relatively wealthy boomer demographic has clearly demonstrated its desire for a better lifestyle, and for many boomers, that lifestyle includes owning a second home. Many will buy a recreational property with a view to eventually retiring there and possibly selling their primary residences. With the largest wave of boomers moving through the cycle right now, second home ownership statistics are expected to rise in years to come.
“There are many reasons why Canadians seek out recreational properties,” says Ord. “Whatever the reason, the perfect recreation property is a place that renews the spirit and lets families spend time together. Now flexible and affordable mortgage financing is available to help Canadians achieve this ideal.”
ABOUT MORTGAGE INTELLIGENCE Mortgage Intelligence Inc., a wholly-owned subsidiary of GMAC Residential Funding of Canada, is the largest and fastest growing mortgage broker in Canada, with close to 500 independent consultants, associates, and assistants in offices throughout British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, and the Atlantic Provinces. The company is committed to introducing niche products to the market to better meet the needs of Canadian homeowners. The company funded volumes of close to C$5 billion in fiscal year 2002. www.mortgageintelligence.ca
For more information:
Bob Ord,President and CEO,Mortgage Intelligence 905.629.7700 Ext. 237, firstname.lastname@example.org
Eva Blay, Point Blank Communications,416.781.3911, email@example.com