Overview of Meridian mortgages
Meridian offers flexible mortgages with competitive rates. As one of Canada's largest credit unions, they focus on providing customers features that make it easier for you to own a home sooner. In addition to standard fixed and variable rate mortgages, Meridian also offers unique shared equity mortgage programs as well as a variety of construction and renovation related mortgages offerings.
Meridian fixed-rate mortgages
Fixed-rate mortgages allow you to lock in your interest rate for the duration of your mortgage term. If during the term, Meridian increases their mortgage rates, your mortgage payments will still stay the same.
Meridian offers fixed-rate closed term mortgages in 1, 2, 3, 4, 5, 7, and 10-year terms. They also provide a 1-year fixed rate open term mortgage as well.
If you make a down payment of less than 20% on a 5-year fixed closed term mortgage, you'll be eligible to receive Meridian's high ratio mortgage rate, which is much lower than their conventional 5 year fixed closed term mortgage rate.
Meridian variable-rate mortgages
Variable-rate mortgages are a good option if you believe interest rates will remain low throughout your mortgage term. If, however, mortgage rates increase, you'll end up paying higher interest costs.
Meridian offers variable-rate mortgages in 5-year terms. They have a 5-year variable rate open term and a 5-year variable rate closed term mortgage.
If your down payment is less than 20% on your home purchase, and you get mortgage default insurance, you could qualify for Meridian's high ratio mortgage offer on the 5-year closed term variable rate mortgage.
Meridian allows mortgage payments to be made monthly, semi-monthly, weekly, or bi-weekly. They also offer accelerated weekly and accelerated bi-weekly options if you want to pay off your mortgage a little quicker.
Meridian extra payment options
On all closed term mortgages, you can increase your mortgage payment by up to 20% per year. You also have the option of making an annual lump sum payment of up to 20% towards your mortgage balance every year as well.
These extra payment limits only apply to closed term mortgages. With an open term mortgage, you're free to make additional payments towards your mortgage without restriction.
The Flex-Equity mortgage
Meridian offers a hybrid mortgage/line of credit product called the Flex-Equity Mortgage. The Flex-Equity Mortgage is a regular mortgage with a home equity line of credit attached to it.
As you pay down the principal on your mortgage, you free up equity you can use to pay for things like renovations, a dream vacation, and more. You can talk to a Meridian mortgage specialist for more details about this offering.
Friends and Family Mortgage
For those who aren't in a traditional income family, Meridian has a friends and family mortgage program. This program allows up to four people to get a mortgage together. It's an excellent option for family members and friends to share in on the upside of homeownership. All participants will have equal ownership and liability of the home.
One caveat to the friends and family mortgage program is that the home being purchased cannot be an investment property; at least one of the applicants must be a resident of the home.
If you have family members who want to help you get a mortgage, the friends and family mortgage program is an innovative offering to help you achieve that goal. Contact a Meridian mortgage specialist for more information about the program.
If you're building a home from the ground up, you may be eligible for a construction mortgage. With a construction mortgage, you'll receive funds in stages as construction progresses. After each phase, you'll receive additional funds to continue building your home.
You make your payments for the construction mortgage monthly, and you'll only have to pay the interest portion while construction is ongoing. Once construction is complete, your mortgage payments will become a blend of interest and principal payments. To see if a construction mortgage is right for you, contact a Meridian mortgage specialist.
Purchase Plus Improvement Mortgage
If you're making a home purchase that requires additional renovations, you could qualify for a Purchase plus improvement mortgage from Meridian. This mortgage gives you the funds to buy your home plus additional funds for home improvements you may need to make.
The cost of improvements cannot exceed more than 20% of your home's purchase price or more than $40,000. Once your home improvements are completed, you'll be reimbursed for the costs you incurred. Speak to a Meridian mortgage specialist for details.
Home equity line of credit
A home equity line of credit provides a great funding source for life's unexpected costs. Meridian offers a competitive home equity line of credit product that you can use to borrow funds whenever you need it.
You don't have to pay anything if you don't use your line of credit. Only pay interest on the outstanding borrowed balance and pay it back when you want, as long as you meet the minimum monthly payment. Talk to a Meridian financial advisor to see if you qualify.
Meridian offers mortgage pre-approvals of 90 days. By getting pre-approved for a mortgage, you'll know how much you can borrow and at what interest rate before you go house hunting.
Getting pre-approved for a mortgage doesn't cost you anything, and you won't be obligated to get a mortgage with Meridian. To get pre-approved for a mortgage, contact your closest Meridian branch, or you can apply online.
Meridian Mortgage Specialist
A Meridian mortgage specialist can help you apply for a mortgage. They can also help renew, refinance, or transfer your existing mortgage. Whatever your mortgage needs are, a mortgage specialist at Meridian can help.
You can set up an appointment with a mortgage specialist by calling Meridian or visiting a branch. If you'd prefer to have a mortgage specialist visit you, you can do that as well through their mobile mortgage specialist service.
Renew your Meridian mortgage
Towards the end of your mortgage term, Meridian will send you a notice in the mail, reminding you that it's time to start thinking about renewing your mortgage. Your renewal notice will maintain the same conditions as your current mortgage term but, the interest rate on your renewal notice may be different to reflect Meridian's current rates. It's always encouraged, however, to negotiate with your mortgage provider or shop around for a better rate come renewal time.
If you're happy with renewing your mortgage with Meridian, you can let them know before your mortgage term expires. If you want to change the term length, you can do that as well by contacting Meridian.
Mortgage renewal time is an excellent opportunity to re-examine your mortgage needs and adjust course as needed. Meridian understands this, and their mortgage specialists can help you make the right decisions.
What you'll need to apply for a Meridian mortgage
When you're applying for a mortgage with Meridian, be sure to have the following on hand.
- Government-issued photo ID
- Employment and income details, such as your T4 and Notice of Assessments
- Bank statements to show that you have enough funds for a down payment and closing costs
- A list and supporting documentation of your current assets and liabilities
Meridian is one of the largest Credit Unions in Canada and is the largest Credit Union in Ontario. They have over 1,900 employees across Canada, with 90 branches nationwide.