In New Brunswick, mortgage brokers, associates, brokerages and administrators are licensed by the Financial and Consumer Services Commission (FCNB) under the Mortgage Brokers Act. The 1% real property transfer tax applies to deeds, and the Act exempts a deed given only to secure a loan. Lenders here mainly use power of sale under the Property Act rather than a court foreclosure.
Atlantic Canada mortgages 90 or more days behind, June 2026
New Brunswick has a licensing regulator that has spoken openly about private lending, a transfer tax with a written exemption for loans, and an enforcement system built around power of sale. Each of the three shapes what a second mortgage means for a household here.
FCNB and what it has said about private lending
The Financial and Consumer Services Commission regulates mortgage brokerages, brokers, associates and administrators under the Mortgage Brokers Act, with Rule MB-001 on licensing and ongoing obligations. FCNB’s consumer page says to check that a mortgage professional is licensed before working with them, and it links to licence checks for individuals and for brokerages.
The same page is clear about limits. FCNB can license, supervise, investigate and take enforcement action, but it cannot set interest rates or loan terms or change a mortgage you have signed. That makes the checks before signing the important part, not the complaint afterward.
In Consumer Affairs Bulletin 2022-003, FCNB wrote about private lending. It said the Act requires a broker to act in the borrower’s best interest, and that when a private investor is involved the brokerage must make sure the borrower has another brokerage representing them, which consent cannot waive. It also said it had seen loans from private lenders not registered as credit grantors, and listed red flags: unfair terms, high fees, repeated placements with the same lender, high default rates and loans above the property’s value.
What a second mortgage costs, and the transfer tax exemption
The Real Property Transfer Tax Act charges 1% of the greater of the consideration or the assessed value on a deed tendered for registration. Section 6(m) exempts a deed by which real property is transferred only for the purpose of securing a debt or loan. A mortgage that only secures a loan therefore appears to fall outside the tax. The second example shows what the tax looks like on a purchase, and why borrowing is a different event.
Summaries of the Land Titles General Regulation put the charge for registering a mortgage at $84 per parcel plus a $1 assurance fee. We did not find that on an SNB fee page, so ask your lawyer to confirm it. The real costs are interest, a lender fee, a broker fee, an appraisal and legal fees, as the first example shows. Our costs and fees page lists them.
Comparing a private lender with a bank
We could not find an official New Brunswick figure for the share of mortgages that are private. Instead, use FCNB’s own warning signs as a checklist. Ask who the lender is, whether the brokerage acts for you, and what every fee is in dollars. If any answer is vague, stop and ask a bank or credit union what they can offer. A regulated lender usually costs less when you qualify.
Arrears across Atlantic Canada
CMHC’s Fall 2026 report gives Atlantic Canada, as a region, 0.30% of mortgages 90 or more days behind in its June 2026 monthly series. It does not break the figure out for New Brunswick. CMHC expects more moderate upward pressure in British Columbia and Atlantic Canada through mid-2027, and notes that credit unions have performed better, which may partly reflect their exposure to Quebec.
The regional number is a direction. It is not a rule about your lender. If payments are slipping, speak to the lender before they have to send formal notice.
Power of sale rather than court foreclosure
Torys says a power of sale is the primary remedy for lenders in New Brunswick, carried out without court intervention, and that judicial listing is not used here as it is in other provinces. A New Brunswick law firm, McInnes Cooper, has written that a mortgagee’s powers here are strong, and that if a sale is improperly exercised the mortgagee can become liable for market value.
For you, the point is that notice periods and steps come from the Property Act and the mortgage terms, with less court supervision than in Alberta or Nova Scotia. Read every notice the day it comes, note the dates, and see a lawyer. You can usually stop a sale by paying the arrears and costs before it completes, but the lawyer should confirm for your file. Our power of sale guide walks through the stages.
Keep the commitment letter, the written fee disclosure, your lawyer’s closing report and the registered mortgage together. Because enforcement here moves with less court supervision, your paperwork and your dated notes are the record you will rely on if you ever dispute what you owe. Photograph anything delivered to your door.
Questions for a New Brunswick broker or lender
Which FCNB licence do you hold, and for which brokerage?
Who is the lender, and is the brokerage representing me or the lender?
What are all the fees and the interest in dollars, and what is due at the end?
What does a renewal cost?
What notice will I get if I miss a payment?
Alternatives to weigh first
A bank or credit union refinance, a payment plan with the creditor, advice from a Licensed Insolvency Trustee on a consumer proposal, and selling are all honest alternatives. Put real fees into the calculator before you commit to a second mortgage.
Where to start by city
Moncton, Saint John and Fredericton each have their own price levels and local economy. The city pages give sourced local figures, starting with Moncton. The form at check my options works for every New Brunswick community.
Land transfer tax and registration in New Brunswick
New Brunswick's Real Property Transfer Tax Act charges 1% of the greater of the consideration or the assessed value on a deed tendered for registration. Section 6(m) of the Act exempts a deed by which real property is transferred only to secure a debt or loan, so a mortgage that only secures a loan appears to be exempt. The tax is a cost of buying, not of borrowing against a home you own.
Summaries of the Land Titles General Regulation list $84 per parcel to register a mortgage plus a $1 assurance fee, $85 in total. We did not find that figure on an SNB fee page, so ask your lawyer to confirm the current Service New Brunswick charge, and expect their own fees and any title insurance on top.
A $55,000 second mortgage on a $390,000 New Brunswick home
Made-up figures except the registration charge, which is $84 per parcel plus a $1 assurance fee per summaries of the Land Titles General Regulation and should be confirmed. The first mortgage is $210,000. The loan is interest only at an assumed 12% for one year, with an assumed 2.5% lender fee, a 1.5% broker fee and $1,600 for legal and appraisal.
Combined loan-to-value
67.9%
$265,000 owed on a $390,000 home
Interest for a year
$6,600
$55,000 at 12%
Lender fee
$1,375
2.5% of $55,000
Broker fee
$825
1.5% of $55,000
Legal and appraisal
$1,600
Registration
$85
Cost of borrowing in year one
$10,485
The 1% transfer tax on buying a home that sold below its assessed value
Made-up prices. The rate and the greater-of rule come from the Real Property Transfer Tax Act, which applies 1% to the greater of the consideration or the assessed value. The $85 registration charge is the assumed figure from the first example.
Purchase price
$360,000
Assessed value
$390,000
Tax base, the greater of the two
$390,000
Transfer tax at 1%
$3,900
Deed registration
$85
Government charges on the purchase
$3,985
Questions people ask
What can FCNB do about a mortgage broker in New Brunswick?
FCNB says it licenses and supervises mortgage professionals, reviews and investigates complaints and can take enforcement action. It cannot set interest rates or loan terms, step into contract disputes or change your mortgage agreement. It does ask you to check that someone is licensed before working with them.
Why does FCNB say a borrower may need a different brokerage from the lender's?
In a bulletin on private lending, FCNB says the Mortgage Brokers Act requires a broker to act in the borrower's best interest, and that when a private investor is involved the brokerage must ensure the borrower is represented by another brokerage. Consent cannot waive that. Ask who represents you.
Are all private lenders in New Brunswick registered?
FCNB's bulletin notes it has seen loans from private lenders that are not registered as credit grantors under the Cost of Credit Disclosure and Payday Loans Act. It also lists red flags: unfair terms, high fees, repeated placements with one lender, and loans larger than the property is worth.
Does a second mortgage pay the 1% real property transfer tax?
The tax applies to a deed tendered for registration, and section 6(m) of the Act exempts a deed by which real property is transferred only to secure a debt or loan. A mortgage that only secures a loan therefore appears exempt. A lawyer should confirm for your document.
Do New Brunswick lenders need a court to sell my home?
Usually not for the sale itself. Torys says power of sale is the primary remedy in New Brunswick, done without court intervention, and that judicial listing is not used there in the way it is in other provinces. A lawyer should read any notice you receive.
