This isn’t about rates on a screen or automated approvals.
It’s about structure, discretion, timing, and asset quality.
In Canada’s high-value property market, jumbo mortgages don’t follow retail rules — and borrowers who treat them like standard loans often hit walls they didn’t expect.
Why Jumbo Mortgages Break the Bank Model
Traditional banks are optimized for volume, not nuance. Their systems work best when loans look the same.
$2M–$10M mortgages rarely do.
They involve:
Unique or trophy properties
Non-standard income structures
Complex ownership (holdcos, trusts, partnerships)
Tight timelines tied to acquisitions or exits
Privacy and discretion requirements
For banks, that complexity equals friction.
So even high-net-worth borrowers hear:
“We need more time”
“Credit committee needs another review”
“We can’t get comfortable with the property”
At this level, delay is risk.
Wealthy Borrowers Aren’t Risky — They’re Non-Standard
A common misconception is that large mortgages are inherently riskier.
In reality, many jumbo borrowers have:
Significant net worth
Substantial equity
Multiple exit strategies
Sophisticated financial planning
What they don’t always have is tidy T4 income or patience for rigid processes.
That’s where banks struggle.
Why Private Capital Dominates the $2M–$10M Space
Private lenders are built for exceptions — not averages.
In the jumbo space, private financing focuses on:
Property quality and marketability
Conservative loan-to-value ratios
Asset location and liquidity
Borrower sophistication
Clear, realistic exit strategies
Not checkbox underwriting.
This makes private capital especially effective for:
Luxury residential purchases
Estate homes
Unique or architecturally significant properties
Bridge financing before asset sales
Complex refinances or restructures
Speed and Certainty Matter More Than Rate
At $2M–$10M, the real risk isn’t the interest rate.
It’s:
Losing the property
Missing a closing
Forcing a rushed sale elsewhere
Exposing sensitive financial details unnecessarily
High-value borrowers prioritize:
Certainty of execution
Confidentiality
Clean, decisive approvals
Lenders who understand complex assets
That’s why private mortgages aren’t a fallback — they’re often the first call.
Jumbo Mortgages Are Strategic, Not Permanent
Most high-value private mortgages are short- to mid-term by design.
They’re used to:
Bridge between transactions
Optimize timing
Preserve negotiating power
Avoid distressed decisions
Once the objective is achieved, borrowers often refinance or exit on their own terms.
The Canadian Reality at the Top End
In markets like Toronto, Vancouver, and other prime urban centres across Canada, luxury real estate doesn’t behave like the average home — and financing shouldn’t either.
Trying to force jumbo assets into retail lending boxes is what causes friction.
The Bottom Line
$2M–$10M mortgages aren’t harder.
They’re different.
They require lenders who understand:
High-value assets
Complex borrowers
Strategic timing
Discretion and execution
When the numbers get bigger, the margin for error gets smaller — and the value of experienced private capital increases.
About Lendworth
Lendworth provides jumbo private mortgages from $2M to $10M+ across Ontario, focusing on high-value residential and select commercial properties. We lend based on value, structure, and strategy — not mass-market formulas.
Your equity deserves more™.