What is the difference between a private lender and a MIC?

Updated: February 28, 2026CanadaFAQPrivate lending

Quick Summary

A private lender may be an individual or company, while a MIC (Mortgage Investment Corporation) pools investor capital and lends under a corporate structure.

Both can fund private mortgages, but the experience can differ.

Typical differences

  • Process and consistency: MICs often have defined products and Underwriting guidelines; individual lenders can be more bespoke.
  • Speed and flexibility: individuals may move quickly on unique deals; MICs can be more predictable on standard files.
  • Fees and terms: either can charge lender fees and minimum-interest periods, so compare the Commitment Letter line-by-line.

What matters more than the label

  • Net advance (how much you actually receive).
  • Enforcement and default terms.
  • Renewal and payout terms.
  • Whether the Exit Strategy is realistic.

Ask your broker to compare options using a net-cost breakdown, not just Interest Rate.