Syndicate Mortgages

A syndicate mortgage is where several lenders combine funds together to create one financial instrument: a mortgage.

When you lend through a syndicate mortgage you are funding a larger instrument; however, your loan is always registered and secured directly to the land under your individual name which translates into direct collateral for you against a real asset.

Syndicate mortgages are CASH, RSP, LIRA, TFSA eligible and are secured by a charge against the property. Terms of the loan range from 2-5 years depending on the project, with a minimum principal amount of $30,000 required. A typical return for our clients is 8% annualized (non-compounded).

Syndicate Mortgage Structure

What is A Syndicate

Lending into a syndicate mortgage allows a loan to move as one funding but each lender is individually registered and secured proportionally. Fixed terms with defined horizons and the unique security of collateral only available on a mortgage.

The syndicate mortgage process includes many steps between agent and lender. Below is a quick overview of the six steps to follow when going through this process. For more information please contact your FMP mortgage agent.

SyndicateProcess Graphic

Projects, earn profit through interest accruing on your principal while the project is progressing.

Real estate offers the ability to diversify into an area often underserved in many financial portfolios. The ability to collateralize directly to an actual asset makes real estate an attractive option. All markets (for example: stocks, bonds, commodities) have cycles and periods of upturns and downturns and real estate is no different. Many people who invest in real estate prefer the security that comes with the direct charge against the property.

A syndicate mortgage allows you to lend directly into Canada’s real estate development and construction industry. You will not receive shares or units that can change in value. Instead your principal is secured against the property/land while you enjoy steady interest on your funds with the potential for profit participation at the end of your term.

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