First National Mortgage Reviews

When searching for a mortgage in Canada, exploring various options is essential to find the best rates and terms suited to your unique financial situation. First National, one of Canada’s largest B lenders, offers a wide range of mortgage products through its extensive network of mortgage brokers. This guide will delve into First National mortgage rates, products, and customer reviews to help you make an informed decision.

What is First National Financial LP?

First National Financial is a prominent non-bank mortgage lender in Canada that provides residential and commercial mortgages. Founded in 1988, the company has become one of the country’s most significant mortgage lenders, with its headquarters in Toronto, Ontario, and regional offices in Montreal, Calgary, Halifax, and Vancouver.

As of 2025, First National serves an impressive +300,000 customers. The company employs over 1,000 people across its various offices in Canada, ensuring a strong presence and dedication to serving its clients nationwide.

How Does First National Provide Mortgages?

First National provides residential and commercial mortgages exclusively through a vast network of brokers across Canada. This approach allows the company to focus on developing innovative mortgage products and maintaining competitive rates while relying on the expertise of mortgage brokers to guide borrowers through the application process.

Working with a mortgage broker to secure a First National mortgage offers 4 key advantages:

1. Access to a wide range of mortgage products from multiple lenders, including First National Financial.
2. Expert advice and guidance throughout the mortgage application process.
3. Assistance in finding the most competitive rates and terms based on your unique financial situation.
4. Time savings, as the broker handles the legwork of comparing rates and products from various lenders.

What are First National Mortgage Rates?

First National Financial offers competitive mortgage rates for fixed and variable-rate mortgages. Let’s examine the current rates and how they compare to the lowest rates available in Canada.

First National Prime Rate

First National Financial’s prime rate is the basis for many lending products, including variable-rate mortgages, lines of credit, and home equity lines of credit. The final interest rate you receive is typically the prime rate plus or minus a spread, depending on the product and your specific circumstances.

First National Financial’s prime rate is 5.45%, with the last change on December 11, 2024. Monitoring the prime rate is essential, as changes can affect your variable-rate mortgage payments.

First National Fixed-Rate Mortgages

Fixed-rate mortgages provide borrowers with the stability of a consistent interest rate throughout the mortgage term. First National Financial offers a range of fixed-rate mortgage terms, with the most popular being the 5-year fixed mortgage.

Term	First National Rate	Lowest Rate in Canada
1-Year Fixed	6.63%	5.74%
2-Year Fixed	5.92%	4.74%
3-Year Fixed	5.04%	4.19%
4-Year Fixed	4.99%	4.29%
5-Year Fixed	4.64%	4.14%
7-Year Fixed	5.90%	5.94%
10-Year Fixed	5.80%	5.79%

While First National Financial’s fixed-rate mortgages are competitive, comparing them with the lowest rates available in Canada is essential. Sometimes, you may find slightly lower rates from other lenders, highlighting the importance of working with a mortgage broker to explore all your options.

First National Variable-Rate Mortgages

Variable-rate mortgages have interest rates that fluctuate based on First National Financial’s prime rate. If the prime rate decreases, your mortgage rate will decrease, and more of your monthly payment will go toward paying the principal. Conversely, if the prime rate increases, more of your monthly payment will go towards paying interest.

Term	First National Rate	Lowest Rate in Canada
5-Year Variable	4.60%	4.30%

Variable-rate mortgages offer 3 advantages:

1. Potential for lower interest rates compared to fixed-rate mortgages
2. Flexibility to take advantage of decreasing interest rates without having to refinance
3. Lower prepayment penalties compared to fixed-rate mortgages if you need to break your mortgage term

First National Convertible Mortgage

First National Financial offers a convertible mortgage option, which allows you to start with a variable-rate mortgage and convert it to a fixed-rate mortgage during your term. This option provides the flexibility of a variable-rate mortgage with the stability of a fixed-rate mortgage if rates increase.

What Types of Mortgages Does First National Offer?

First National Financial offers a variety of mortgage products to cater to the diverse needs of Canadian borrowers. In addition to traditional fixed and variable-rate mortgages, the company provides 3 specialized mortgage options.

First National Home Equity Line of Credit

First National Financial offers a home equity line of credit (HELOC) through its partner, Duo Bank. This product allows you to access your home equity to consolidate debt, finance renovations, or make large purchases.

With a credit limit of up to $150,000, a HELOC can provide flexibility and potentially lower interest rates than traditional credit cards or unsecured lines of credit. However, it’s important to note that this product is only available to Ontario-based First National mortgage holders.

First National Investment Property Mortgages

If you’re looking to purchase an investment property, First National Financial offers mortgage solutions through its network of mortgage brokers. You can secure a mortgage for up to 80% of the purchase price for non-owner-occupied properties with 1 to 4 units.

The maximum mortgage amount for investment properties in the Greater Toronto Area, Vancouver, or Calgary is $750,000, while properties elsewhere in Canada have a maximum mortgage amount of $600,000.

First National Financial offers commercial mortgage options for more expensive or commercial investment properties, such as retail, industrial, or office spaces.

First National Self-Employed Mortgages

First National Financial recognizes the unique challenges self-employed individuals face when applying for a mortgage. As a result, the company offers stated-income mortgages for insured and uninsured self-employed borrowers. This product allows you to qualify for a mortgage without traditional income verification, which can be beneficial if your stated income differs from your actual income.

To qualify for a self-employed mortgage with First National Financial, you’ll need:

• 2 or more years of credit history and a strong repayment track record for an insured mortgage
• 3 or more years of credit history and a larger down payment for an uninsured mortgage

Insured self-employed mortgages allow you to borrow up to 90% of the purchase price, while uninsured mortgages have a maximum loan-to-value ratio of 65%.

What Special Features Do First National Mortgages Offer?

First National Financial offers its mortgage holders several unique features and benefits, adding value and peace of mind.

First National Home Warranty Program

First National Financial offers a complimentary home warranty program through Echelon Insurance for the first 12 months of your mortgage. This program covers up to $10,000 in eligible repair costs for your home’s central heating and air conditioning, water heater, electrical system, and plumbing.

You only need to pay a $50 consultation fee during the first year to use the coverage. After the initial 12 months, you can continue the coverage or cancel if desired.

First National Mortgage Protection Insurance

First National Financial offers mortgage life insurance and disability insurance through Manulife Financial. Mortgage protection insurance is available for borrowers, co-borrowers, and mortgage guarantors. This optional coverage can help pay off your mortgage in case of an unexpected death, accident, or illness that prevents you from working.

You can insure your mortgage for up to $1,000,000 in life insurance coverage and receive up to 24 months of mortgage payments through disability insurance. Premiums are based on your age and mortgage amount and remain constant throughout the coverage period.

First National Prepayment Options

First National Financial provides several ways to pay down your mortgage faster and save on interest costs:

• Annual Lump-Sum Payments: You can pay up to 15% of your original mortgage balance each year without facing prepayment penalties.
• Payment Increase: Once per year, you can increase your regular monthly mortgage payment by up to 15%. This option allows you to pay more towards your principal balance over the year.
• Double-Up Payments: You can double your mortgage payment on any payment date. The additional amount goes directly towards reducing your principal balance.
• Accelerated Payments: By choosing an accelerated payment frequency, you can make the equivalent of one extra monthly payment per year, helping you pay off your mortgage faster.

First National Property Tax Payments

First National Financial may require you to pay your property taxes through the company, depending on your financial situation and mortgage terms. In this case, you’ll make monthly property tax payments to First National Financial, which will hold the funds in a dedicated property tax account.

When your property tax bill is due, First National Financial will pay it on your behalf to your municipality. This service can simplify the tax payment process, especially for first-time homebuyers who may be unfamiliar with the process and deadlines.

How Can I Qualify for a First National Mortgage?

To qualify for a mortgage with First National Financial, you’ll need to work with a mortgage broker who can guide you through the application process and help you find the best mortgage solution for your needs.

Mortgage Broker Application Process

When you’re ready to apply for a First National mortgage, your first step is to contact a mortgage broker. Your broker will gather information about your financial situation, employment history, and credit profile to determine which mortgage products you may qualify for.

They’ll also help you compare rates and terms from multiple lenders, including First National Financial, to find the most competitive option.

Required Documents and Information

To complete your mortgage application, you’ll need to provide your mortgage broker with several documents and pieces of information, including:

1. Proof of income (e.g., pay stubs, T4 slips, tax returns)
2. Proof of down payment and source of funds
3. Personal identification (e.g., driver’s license, passport)
4. List of assets and debts
5. Property information (e.g., purchase agreement, MLS listing)

Tips for Improving Your Chances of Approval

To increase your likelihood of being approved for a First National mortgage, consider the following tips:

1. Maintain a good credit score by making payments on time and keeping your credit utilization low
2. Save a larger down payment to reduce your loan-to-value ratio and potentially qualify for better rates
3. Pay down existing debts to improve your debt-to-income ratio
4. Provide a clear and stable employment history
5. Be honest and transparent about your financial situation with your mortgage broker

What Do Customer Reviews Say About First National?

Before choosing a mortgage lender, it’s essential to research customer reviews to gauge the experiences of past and current clients.

Aggregated Ratings from Various Review Sites

Here is a summary of First National Financial’s ratings across popular review platforms:

• Google Reviews: 3.8/5 stars based on 239 reviews
• Loans Canada: 3.0/5 stars based on 5 reviews

It’s important to note that these ratings are based on a limited number of reviews and may not represent the experiences of all First National Financial customers.

Pros and Cons of First National

Based on customer reviews, here are the common pros and cons of working with First National Financial:

Pros of First National

1. Competitive mortgage rates compared to other lenders
2. Wide range of mortgage products to suit various needs
3. Helpful and knowledgeable mortgage brokers

Cons of First National

1. Limited direct interaction with First National Financial, as mortgages are provided through brokers
2. Some customers reported delays or confusion in the mortgage application and approval process
3. A few customers experienced difficulties with customer service and communication

Remember that individual experiences may vary, and working with a reputable mortgage broker who can guide you through the process and advocate on your behalf is essential.

Explore our reviews of Best B Lenders in Canada

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• Pine

How Can I Contact First National for More Information?

If you have questions about First National Financial’s mortgage products or your existing mortgage, there are several ways to contact the company.

My Mortgage Online Portal: First National Financial offers an online portal called My Mortgage, which allows you to view your mortgage details, make payments, and manage your account.

Dedicated Phone Line for Existing Mortgage Inquiries: If you have questions about your current First National mortgage, call their dedicated phone line at 1-888-488-0794.

Email and Office Contact Information: For general inquiries or to find the contact information for a specific First National Financial office, you can visit their website’s “Contact Us” page. The page provides various departments and regional offices’ email addresses and phone numbers.

Summary

First National Financial is a well-established non-bank lender/ B Lender in Canada, offering a wide range of mortgage products to suit the needs of various borrowers. Working with a mortgage broker lets you access First National Financial’s competitive rates, flexible prepayment options, and unique features like their home warranty program and mortgage protection insurance.

When considering a First National mortgage, compare rates and terms with other lenders, review customer feedback, and work with a trusted mortgage professional who can guide you through the application process. By doing your due diligence and understanding the various mortgage options available, you can make an informed decision and find the best mortgage solution for your unique financial situation.

FAQs

Article Sources

1. First National Financial Mortgage Review 2024
2. First National Financial LP