Private mortgage lenders in London: rates, how much you can borrow, and how it works
Rates, how much you can borrow and the London rules that matter, from a licensed mortgage brokerage.
Written and reviewed by Asim Ali, Mortgage BrokerUpdated 5 November 2026
Licensed: BCFSA (BC) · RECA (Alberta) · FSRA (Ontario) · check our licences
Yes. We arrange private and B-lender mortgages across London, from Old North and Wortley Village to Masonville, Byron and Lambeth. In November 2026, private first mortgages in London run about 7.49% to 10.49% and private seconds about 9.49% to 12.99%, interest-only, plus a lender fee and our broker fee, shown in dollars before you commit. Most lenders go to 70% of the appraised value on a first mortgage here. A written commitment usually comes in 1-2 business days and the money in 5-12 business days.
How much can I borrow against my London home?
Private lenders look at what your home is worth today and what you already owe. In London most will lend to 70% of the appraised value on a first mortgage. Move the sliders to see your own numbers.
You could borrow up to
- Combined loan-to-value
- Likely second-mortgage rate
- Interest-only payment
- Equity you keep
Estimate only, as of November 2026. Lenders use the appraised value, not the assessment. Fees come off the advance.
What are private mortgage rates in London right now?
Rates depend mostly on loan-to-value. The lower your loan against the home, the lower the rate. These are the ranges we see on London files in November 2026.
| Loan-to-value | Private first mortgage | Private second (combined) |
|---|---|---|
| Up to 55% | 7.49-8.49% | 9.49-10.49% |
| 55-65% | 8.49-9.49% | 10.49-11.99% |
| 65-70% | 9.49-10.49% | 11.99-12.99% |
Interest-only, 12-month terms. Add a lender fee (usually 1-3%), our broker fee (shown in writing first) and about $1,500-2,500 legal. Full rates, fees and APR · All of Ontario
What is the London housing market doing, and why does it matter for your loan?
London and St. Thomas Association of REALTORS, City of London MLS HPI benchmark prices, October 2026. (members.lstar.ca) Lenders lend on the appraised value of your own property, not the area figure.
London townhouses and apartments fell 11-12% in the year to October 2026, much faster than single-family homes, which were down about 4%. With 42% of households renting, many borrowers here are small landlords. Main local industries: health care, manufacturing and education.
- 41.9% of London households rent, well above the Ontario share of 31.4%. (www150.statcan.gc.ca)
- London requires a residential rental unit licence for any building with four or fewer rental units (and for converted dwellings), with mandatory property-standards and fire inspections for new licences. (london.ca)
- London's apartment benchmark fell 12.1% and its townhouse benchmark 11.1% year over year to October 2026, much faster than single-family homes (-3.7%). (members.lstar.ca)
- 7.6% of London CMA homes were built in 1920 or earlier, above the Ontario share of 6.5%. (www150.statcan.gc.ca)
- 48.8% of London households live in single-detached houses and 21.5% in apartment buildings of five or more storeys. (www150.statcan.gc.ca)
Who do we help in London?
London is a renter-heavy university and hospital city, and many local investors hold small rental houses that now need a City rental licence and passed inspections. Condo and townhouse values dropped more than 10% in the year to October 2026, which can leave owners and investors short of equity at renewal. Private and B-lender mortgages help with refinancing rental portfolios, bridging a sale, and borrowers whose income or credit doesn't fit bank rules.
“Will the proposal stop my renewal?”
Both numbers: pay it out, or keep paying.
How we handle itCheck my options“Three cards at 21% and a car loan.”
Roll it into one payment, with a plan to clear it.
How we handle itCheck my options“I need $120,000 against the house.”
Borrow to 80% combined without touching your first.
How we handle itCheck my options“We close in 10 days and our buyer walked.”
Private bridge on one or both homes, 5-10 days.
How we handle itCheck my options
Which local rules affect a London property?
These rules change what a lender will do, or what a sale or rental is worth. We check them on every London file.
Ontario Land Transfer Tax
Buyers pay Ontario land transfer tax on closing, from 0.5% to 2.5% of the price. First-time buyers can get up to $4,000 back. A refinance does not trigger it. (ontario.ca)
Non-Resident Speculation Tax
Foreign nationals pay an extra 25% when they buy a home anywhere in Ontario. Permanent residents do not. (ontario.ca)
London short-term accommodation licence
Short-term accommodations (29 days or less) must be licensed and are limited to the operator's principal residence; listing platforms must also be licensed and show each licence number. (london.ca)
What happens if a London mortgage goes into default?
In Ontario most lenders use power of sale, which does not need a court order. After 15 days of default the lender can serve a Notice of Sale, and you have at least 35 days to pay what is owed. A private refinance inside that window stops the sale.
Your mortgage is registered electronically in Middlesex Land Registry Office No. 33 (LRO 33). FSRA rules mean you get a written disclosure, with the APR, at least two business days before you sign. If a demand letter or court paper has arrived, read how to stop foreclosure or power of sale and call us the same day.
How does getting a private mortgage work if you live in London?
Form or call. Same-day callback, 8am-8pm Pacific, seven days.
Lender named, rate, fees and APR in writing, usually in 1-2 business days.
A local appraiser visits. You sign with a lawyer near you. Written disclosure two business days before you sign.
Money in 5-12 business days. We write down how you get back to a bank.
Which London neighbourhoods and nearby towns do we cover?
- Downtown London
- Old North
- Wortley Village (Old South)
- Old East Village
- Masonville
- Hyde Park
- Byron
- Westmount
- White Oaks
- Lambeth
- Stoney Creek
We also lend in St. Thomas, Strathroy, Komoka, Ingersoll, Woodstock, and anywhere else in Ontario.
London private mortgage questions
Can I get a private mortgage in London with bad credit?
Yes. Private lenders in London look at your equity, the property and your way out more than your score. Scores under 600, a consumer proposal or CRA arrears are common files. What decides the answer is usually loan-to-value: most lenders here stop at 70% for a first mortgage.
How fast can a private mortgage fund in London?
A written commitment usually takes 1-2 business days. The appraisal in London takes 2-5 days, then both lawyers need a few days. Plan on 5-12 business days from your first call to money in your account. In Ontario you also get a written disclosure at least two business days before signing.
What does a private second mortgage cost in London?
Example: a $100,000 second at about 70% combined loan-to-value, at 11.99% interest-only for 12 months, with a 2% lender fee, a 1.5% broker fee, $1,800 legal and a $450 appraisal. Interest is about $11,990 and fees about $5,750, so the year costs about $17,740, an APR of about 17.7%. Your own numbers come in writing before you commit.
Do I need to visit your office to get a mortgage in London?
No. London files are handled from our Surrey office by phone and video. A local appraiser visits the property and you sign with a lawyer in or near London. Our licence in Ontario is with FSRA; you can check it on the regulator's site.
Can I refinance a London rental house with a private lender?
Yes. Lenders look at the value, the rent and the condition. London requires a rental licence for buildings with four or fewer rental units, so have it ready; a lender or appraiser may ask.
Why are London limits lower than in Toronto?
Private lenders lend more where homes sell faster and prices are higher. Most stop at 70% of value in London, compared with 75% in the GTA.
Other cities in Ontario
Sources. www150.statcan.gc.ca · members.lstar.ca · london.ca · ontario.ca
Talk it through with a licensed broker before you decide
Tell us what is going on in a few lines. We call you back the same day with what lenders will say, what it costs in dollars, and how you get back to a bank. If private is the wrong tool, we say so.
- Your full cost, in dollars, before you commit
- The lender named on your commitment letter
- A written plan to exit within 12-24 months
Asim Ali, Mortgage BrokerSurrey office · BC, Alberta and Ontario
Tell us three things. A licensed broker calls you today.
No credit check. No ID. No date of birth. We ask what a lender decides on: the property, the equity and the deadline.
- 1Same-day call from Asim Ali or a licensed colleague
- 2A range for rate, fees and APR on the call
- 3Written commitment in 1-2 business days if you go ahead
- 4Nothing to pay until the mortgage funds
Asim Ali, Mortgage Broker
Licensed in BC, Alberta and Ontario · (604) 591-3590