Individual Private Lenders

Looking for an opportunity to turn registered funds into mortgage funding solutions? With CWB Trust Services' Arm's Length Mortgages, you can lend money from your registered accounts to fund an unrelated individual's mortgage.

Features

Product Information

Use your registered accounts or locked-in plans to invest in mortgages

Through CWB Trust Services' (CWBTS) Arm’s Length Mortgages, an individual private lender can maximize funds from registered accounts (e.g. RRSP, RIF, TFSA*, LIRA, LIF, etc.) with very few restrictions, by investing in mortgage funding solutions. The borrower then makes mortgage payments back into the lender's registered account, and pays the lender interest on the amount borrowed. 

Application to funding in five easy steps
  1. The lender opens a CWBTS self-directed registered account (e.g. RRSP, TFSA*, RRIF) and funds the account.
  2. The lender sends completed copies of CWBTS Investing in an Arm’s Length Mortgage and Instruction to Solicitor forms to their lawyer to detail the mortgage’s terms.
  3. The lender’s lawyer conducts the required investigation on the property, drafts the mortgage documents, and sends a request for funding.
  4. CWBTS receives the paperwork from the lender’s lawyer and issues funds to the lawyer from the lender’s registered self-directed account.
  5. The lawyer sends CWBTS a final report with the registered mortgage, title certificate, insurance binder, and if required by the lender, title insurance.
*Deposits in Canadian Currency with a term of 5 years or less, and payable in Canada, are eligible to be insured under the CDIC Act.