Making Dreams A Reality!

Great Time to Consider a Second Mortgage


Zoo Mortgage (, the Greater Toronto Area’s leading private consumer financing company, is responding to a recent survey showing Canadians are more comfortable with their current debt levels and is releasing an explanation of why near-record-low mortgage rates mean it’s the perfect time to consider taking out a second mortgage.


According to a recent survey, a growing number of homeowners say they are more comfortable with debt than their parents were; four in 10 homeowners are more comfortable with debt compared to their parents, versus just 13% who say they feel less comfortable.  The growing comfort comes as stock markets flirt with record highs and rising real estate prices help make homeowners in the Greater Toronto Area richer. (Source: “Homeowners indicate they are more comfortable with debt than their parents were, Manulife Bank of Canada Survey Shows,” Manulife web site, June 17, 2014;,,lang=en&artId=147918&navId=630002,00.html.)


“Property owners are more comfortable with debt, thanks in part to an improving economy and the current low interest rate environment,” says Luciano Giustini, owner of Zoo Mortgage. “Interest rates hovering near record lows make debt management more feasible, especially when someone can get a five-year fixed mortgage rate near 2.79%. This is much less intimidating than trying to pay down a five-year fixed mortgage with a rate of 14.53% in June 1984; a rate of 9.8% in June 1994; and even a rate of 6.6% in June 2004.”


Giustini explains that despite the improving economy, many homeowners are “house rich” and “cash poor,” or have come up against unexpected expenses. If that’s the case, it might be a good idea to consider a second mortgage, says Giustini. A first mortgage refers to the primary loan, while a second mortgage allows homeowners to tap the equity they’ve built up in their home.


He adds that since 2008, the Canadian government has tightened the country’s lending rules for home buyers with less than a 20% down payment. One such rule is setting the maximum amount at which a mortgage can be refinanced at 80%; those that purchased a property with more than the 20% down payment can refinance up to 85%, according to Giustini.


“There are many benefits to refinancing in an ultra-low interest rate environment, including consolidating high interest debt into low interest ones, helping pay for college tuition, and home renovations,” Giustini concludes. “Homeowners looking to take out a second mortgage or those wondering how much they might qualify for should contact the independent agents at Zoo Mortgage. We review our client’s options and help them maximize their borrowing power at the lowest possible interest rates available.”


Zoo Mortgage is one of the most trusted private mortgage agents in the Greater Toronto Area. The independent, unbiased, and licensed mortgage agents at Zoo Mortgage assist clients with both acquiring and renewing residential and commercial mortgages, home equity credit, consolidating debt, and financing-related concerns, including refinancing. To learn more about Zoo Mortgage, visit the company’s web site at, contact Zoo Mortgage by phone at 1-888-481-2858 or by e-mail at, or by visiting the Zoo Mortgage office at 3582 Major Mackenzie Drive, Woodbridge, Ontario.

Luciano Giustini

After graduating from the real estate and mortgage institute of Canada and spending the last few years in the mortgage industry as a mortgage agent i have come to meet some clients with some unique situations. Nothing gives me more pleasure than to find the right mortgage product for my clients and helping them with there biggest investment most will make.

Luciano also understands the work balance and when not working enjoys spending time with family and friends. He also has a passion for sports and is an avid golfer Add Luciano Giustini to your Google+ Circles

Go Back Icon Back to Main News Page