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QuestMortgage at a glance
Launched in 2022, QuestMortgage is an online-only lender offering mortgages directly to consumers.
- Launched in 2022.
- Offered by the same financial institution behind the popular self-investing platform, Questrade.
- Apply and get pre-approved for a mortgage online, at anytime.
- Generous fee-free prepayment options to help you pay down your mortgage quicker.
- Fixed-rate mortgages (purchase and refinance).
- Variable-rate mortgages (purchase and refinance).
- Cash-back mortgages.
Pros
- Posted mortgage rates are typically lower than those from the Big Six banks.
- Straightforward online application process with phone or chat support if needed.
- Good prepayment options.
Cons
- Doesn’t provide mortgages for properties in Quebec, the Northwest Territories, the Yukon or Nunavut.
- A purely online mortgage experience might not be comfortable for all borrowers.
- Loan offers appear to be limited to offer second mortgages or specialty loans.
QuestMortgage review
QuestMortgage is not a financial institution; it’s a direct lender powered by Community Trust Company[1]. If the name sounds familiar, that’s because QuestMortgage is part of Questrade Financial Group, the same people behind Questrade, one of the more popular online brokerage platforms in Canada.
Although Questrade was founded in 1999, it didn’t begin offering mortgages until early 2022. QuestMortage aims to stand out in a crowded field by simplifying the application process, removing in-person meetings and offering competitive interest rates.
QuestMortgage offers fixed- and variable-rate closed mortgages. If you’re willing to pay a slightly higher interest rate, you can also earn up to $5,000 in cash back when you get an eligible fixed or variable QuestMortgage.
Whether you’re looking for your first mortgage or you want to refinance, QuestMortgage is worth considering due to its convenience, simplicity and competitive rates.
Who is QuestMortgage best for?
QuestMortgage may be a good choice for home buyers or refinancers with a strong credit score who want the convenience of a digital application experience.
QuestMortgage offers a typical but limited selection of mortgage types designed to serve prime borrowers — aka those who can meet the stricter qualifications of federally regulated lenders and the mortgage stress test. Also, because QuestMortgage is a direct-to-consumer, online-only lender, borrowers will need to be comfortable communicating with a mortgage advisor online or over the phone — with no ability to visit a branch in person.
QuestMortgage feature overview
Mortgage variety
QuestMortgage doesn’t provide many details regarding the variety of mortgages it offers. Those it does advertise include:
- Fixed-rate mortgages.
- Variable-rate mortgages.
- Switches and refinances.
Estimate your monthly mortgage payment.
Use our mortgage payment calculator to compare different borrowing scenarios.
Ease of application
QuestMortgage offers some online mortgage application capabilities, including:
- Online pre-qualification: Sort of. The QuestMortgage site offers an affordability calculator that can provide a rough mortgage payment estimate, but it’s just a starting point before contacting the lender directly.t.
- Online pre-approval: No. The QuestMortgage site says it offers pre-approval capabilities, but you can’t access its application form unless you’ve put an offer in on a house.
- Online mortgage application: Yes. QuestMortgage’s online application process is fairly thorough and easy to work through.
- In-person option: No, but you can connect with the company by phone, email or by filling out its “Tell Us More” form, which asks for the same information as some other lenders’ or brokers’ application forms.
Mortgage rate transparency
QuestMortgage provides a good amount of insight into the mortgage rates it provides.
- Posted rates: QuestMortgage publishes posted rates for its fixed-rate mortgages.
- Special rates: The most prominently displayed rates on the QuestMortgage website are its special rates, which it brands as “BetterRate” mortgage rates.
- APR: Only QuestMortgage’s discounted, insured mortgage rates are annual percentage rates.
Other details:
- Term lengths: One to 10 years.
- Rate hold: 120 days.
- Make lump-sum payments: Permitted up to 20% of the original mortgage balance per year.
- Increase your payment: Raise your monthly mortgage by up to 100% of the original amount.
- Prepayment penalties: Three-months’ interest on a variable-rate mortgage with more than three months left on the term. For fixed-rate mortgages, the charge will be the greater of three-months’ interest or QuestMortgage’s interest rate differential amount.
Customer satisfaction ratings
Based on NerdWallet analysis of satisfaction scores on several customer review websites, it’s unclear whether QuestMortgage provides a satisfactory experience for most customers.
- QuestMortgage doesn’t have a Trustpilot rating, but its parent company, Questrade is rated 1.4 out of 5 possible stars based on more than 200 customer reviews as of May 2024.
- Questrade had 1 out of a possible 5 stars on the Better Business Bureau website as of May 2024, but that rating is based on only six reviews. Questrade is not accredited by the BBB itself.
You can reach a QuestMortgage mortgage advisor online through the chat option Monday to Friday from 8 a.m. to 8 p.m. ET and Saturday from 9 a.m. to 5 p.m. ET. You can also reach them during the same hours via phone at 1-888-909-5588. Another option is to send an email to [email protected].
QuestMortgage eligibility requirements
To be eligible for a mortgage with QuestMortgage, you’ll need to meet certain eligibility requirements:
- You must be a Canadian resident (excluding Quebec).
- The property must be in Canada (excluding properties in Quebec or any Canadian Territory).
- You must meet minimum credit score requirements (QuestMortgage does not disclose this number).
Other typical mortgage requirements include:
- Income that supports the amount you want to borrow. You may need to prove this using a letter from your employer, tax returns or other methods.
- Minimum down payment of 5% for homes that cost less than $500,000; 5% of the first $500,000 and 10% of the amount above $500,000 for homes priced between $500,000 and $999,999; or 20% for homes priced at $1,000,000 or more.
- Monthly housing costs of less than 39% of household income. This category includes mortgage payments, property taxes and utilities.
- Total debt load of less than 44% of your household income. This includes your monthly housing costs plus any payments on credit cards, car loans, student loans or other debt.
Nerdy Tip: Use a mortgage affordability calculator to determine how much you can afford to pay for a home. If you have a unique situation or need additional information about the eligibility requirements, it’s best to speak directly with a mortgage specialist.
How to apply for a mortgage with QuestMortgage
QuestMortgage provides a fairly straightforward online application process. Here’s how to navigate it.
On the QuestMortgage homepage, scroll down until you see this image and choose “Purchase a home.”
If you’ve put an offer in on a home, you’ll be taken through QuestMortgage’s mortgage application.
If you haven’t made an offer, you’ll go through a quick pre-qualification process.
The application process starts with you providing some basic information about your home purchase — the closing date, the property’s price and intended use, and your down payment amount.
Once those details have been entered, you’ll be provided a rate and the option to continue with your application.
Answer a series of six questions, which focus on the home’s use and location and your personal eligibility details.
Then it’s time to either create a user ID or, if you’re already a Questrade customer, login.
Applying online with QuestMortgage takes about 35 minutes.
Start by verifying your identity and consenting to a soft credit check that won’t affect your credit score.
After you tell Quest whether you’ll be applying individually or with a co-applicant or guarantors, you can choose whether to continue with your application on your own or with the help of a QuestMortgage mortgage advisor.
Enter details regarding:
- The property (size, property type, age, heating source).
- Your purchase price, down payment amount and down payment sources
- Your property expenses, including annual property taxes.
Enter details about yourself, including your:
- Personal information, including relationship and living status.
- Current housing costs.
- Employment information, including your current employer, full-time/part-time status and annual income.
- Assets, debts and ongoing expenses.
To get a personalized rate offer, make some decisions regarding your mortgage, including the:
- Rate type.
- Term length.
- Amortization period.
- Payment frequency.
Review the details of your mortgage application, consent to a hard credit check and you’re pretty much done.
Alternatives to QuestMortgage
| Home Trust | RBC Mortgage | First National Financial | |
| Lender type | Trust company | Big Bank lender | Non-bank lender |
| Service area | National | National | National |
| In-person service? | Yes | Yes | Yes |
| Ease of application | Easy (online, phone, in-person) | Easy (online, phone, in-person) | Difficult (online, phone, in-person) |
| Mortgage variety | Average | Average | Above average |
Frequently asked questions about QuestMortgage
QuestMortgage is not a bank. QuestMortgage is a service provided by a financial institution known as Community Trust Company, which is a subsidiary of Questrade Financial Group. According to its website, CTC is regulated by the Office of the Superintendent of Financial Institutions and a member of the Canada Deposit Insurance Corporation.
Questrade is not a mortgage broker. QuestMortgage, a subsidiary of the same financial group as Questrade, is a direct-to-consumer mortgage lender.
Selecting the right mortgage provider is a big decision. A mortgage is a large debt, and you want to make sure that you’re getting the best deal possible. You’ll need to do some research, make a list of what’s important to you, and spend some comparing offers from the different types of providers. You can start by following these steps:
- Decide your budget: It’s important to have an idea of how much mortgage you can comfortably afford before talking with lenders. They may offer you more than you want to spend; it’s important to be ready for that conversation.
- Understand the different types of lenders: Mortgage providers include banks, credit unions, brokers, alternative lenders, and private lenders. Each has its pros and cons.
- Compare offers from three different lenders: To ensure you have a good idea of what’s out there, consider seeking mortgage pre-approval from a big bank, a broker and one other type of alternative lender.
- Don’t focus too much on rates: The interest rate is just one part of the mortgage equation. Yes, you want the most competitive rate possible, but it’s also important to weigh the reputation of the lender, the quality of customer service they provide, the types of loans they offer, the fees they charge, and the flexibility of terms they may offer.
» LEARN MORE: Read our guide to choosing a mortgage lender
Like most mortgage brokers and lenders, QuestMortgage lending partners will consider the following when estimating what the regular payment might be for your future mortgage:
- Home price: the total amount you agree to pay for a home.
- Down payment: the total amount you’ll pay upfront toward a home purchase.
- Amortization period: the number of years over which you’ll repay your mortgage.
- Mortgage term: the length of the contract you’ll have with your mortgage lender.
- Payment frequency: how often you’ll make mortgage payments.
- Mortgage interest rate: the fee you’ll pay to borrow money from the lender; expressed as a percentage of the loan amount.
- Property taxes or title transfer fee: an annual fee based on your property value.
- Mortgage default insurance: an extra cost you’ll pay if your down payment is less than 20%.
Example:
- Home price: $650,000
- Down payment: $58,500 (9%)
- Amortization period: 25 years
- Mortgage term: 5 years
- Payment frequency: Monthly
- Mortgage interest rate: 5.5%
- Mortgage insurance: $23,660
TOTAL MORTGAGE: $615,150
MONTHLY MORTGAGE PAYMENT: $3,778
Article Sources
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Josh Scott, “QUESTRADE LAUNCHES ONLINE MORTGAGE SERVICE QUESTMORTGAGE,” accessed May 9, 2024.
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