M O R T G A G E S A N D L E N D I N G
The Real Deal
Three mortgage and lending professionals set the record straight
on common misconceptions people have about their industry
I
n a province where real estate is often the
talk of the town and gaining access to all the
latest information about property investment
has never been easier, it may seem unlikely
that misconceptions would persist about
mortgages and lending; but that is precisely
what the professionals in the industry
continue to deal with on a daily basis.
Steve Blacklock, president of the British
Columbia Association of the Appraisal Institute
of Canada (
AIC), says the biggest misconception
in his line of work is the discrepancy between
what people believe their home to be worth,
and its appraised value.
"Often it's lower, sometimes it's higher;
and while this inevitably causes some owners
disappointment, third-party appraisals are
vital at a time when unscrupulous business
practices such as mortgage fraud continue
to occur, despite strict bank and government
regulations."
An independent market-value appraisal
is the tool for everything from facilitating
family law and estate settlements to securing
construction €nancing. Blacklock refers to his
colleagues as providing "sober second thought,
and it's important for people to understand that
our impartiality is to everyone's bene€t. For
example, if, in a marital divorce situation where
one partner is 'buying out' a 50 per cent share of
the family home—one party will want the highest
value and the other will want the lowest—in this
situation, an independent appraisal can assist
with a fair division of assets."
S P E C I A L F E A T U R E
Consulting with trusted
mortgage and lending
professionals will allow
you to make an informed
investment decision
