How Many Mortgages you can have as a Real Estate Investor?

How Many Mortgages you can have as a Real Estate Investor?

Thursday May 26th, 2022


As a Real Estate Investor in Toronto, there is no limit to the number of mortgages you can have. But this is the case when you can afford to repay all of them and find a mortgage servicer willing to lend you money.


Most traditional lenders won’t trust you initially to finance your properties. The maximum you can convince them with is either four or fewer properties. However, the most crucial aspect here is to scale your real estate portfolio correctly, regardless of your kind of investment.

Here is all about obtaining finances for more than one property.


What is Important in How Many Mortgages you can have?

One aspect that most real estate investors are concerned about is if they can have more than one mortgage or not. Investing in real estate is a game; if you succeed, you are lucrative, and if you lose, you have a lot to face financially.


According to the Canada Mortgage and Housing Corporation, the mortgages for second properties in Canada 2016 and 2017, 15% of the new mortgage loans in Canada were given off.


Even after looking at the stats, most traditional financial institutions or mortgage servicers find giving multiple mortgages as a risky game.


The problem here is that the more properties and mortgages you have, the easier it will be for you to get into troubles related to mortgage payments. If you have multiple rental properties in the same region, your risk will be much more.


Moreover, due to COVID-19, the risk and complications have also increased. The houses have been sold off at greater values, and the remaining are still on the market with no customers. This has created great financial shocks.


How to get Multiple Mortgages?

The number of mortgages you can score mainly depends on your borrower or mortgage servicer. Hence, before choosing a mortgage servicer, getting your goals straight and looking for the right person is vital.


There is a load of financial products on the market, and likewise, your property portfolio’s overall performance and your cash flow will be affected by the type of loan you choose. A financial expert or mortgage broker can help you make a wise choice.


Here are a few considerations that will decide your affordability of getting more than one mortgage:

Proof of Income

Before lending you multiple mortgages, a mortgage broker will ensure your income source to eliminate the factor of risk. Your proof of income, tax return, liabilities, and statement of assets will give them room to build trust. Moreover, proof of financial statement on any existing investment properties will also be needed, such as rent roll or any loan information.

Mortgage Insurance

This varies on the size of your down payment and monthly payments. If your property usage is less, you will require little to no mortgage insurance.


The number of mortgages you can avail of mainly depends on your mortgage broker. Keep these few points mentioned above in mind before applying for a mortgage!


I’d love to talk more about the possibilities available to real estate investors in the Greater Toronto Area. Contact me for a free consultation, and let’s see what we can achieve!

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