To buy a home with 5% down, you’ll need to meet the following: owner occupied property (not a rental property or investment property) provable income purchase price of less than $500,000 in most cases, Canadian residency would be required the ability to prove a 12 month history of good credit (if you just moved to […]
Category: Which mortgage is right for me?
Why would I want a line of credit secured by my house? (HELOC or Home Equity Line of Credit)
The reasons why you would take out a line of credit on the rental instead of a “standard” mortgage product would be: You want to be able to re-advance the mortgage funds in the future and use the money again without having to qualify for it. You want to put large sums of money (in […]
Why do I qualify for less if I am taking a variable rate?
When lenders qualify you for a mortgage, they look at a number of things. They’ll check your credit, income, assets and they’ll take the property you are buying in to consideration as well. When they determine how much you qualify for, they will look at your debt ratios. In simple terms, your debt ratio is […]
Why do I qualify for less if I am taking a term shorter than 5 years?
When lenders qualify you for a mortgage, they look at a number of things. They’ll check your credit, income, assets and they’ll take the property you are buying in to consideration as well. When they determine how much you qualify for, they will look at your debt ratios. In simple terms, your debt ratio is […]
Can I get cashback on my mortgage?
You sure can 🙂 Not so fast, champ! You’ll want to consider the rate you’ll pay to get that extra cash. Generally speaking, the rate will be higher than what you would pay if you didn’t take the money. You’ll also want to be crystal clear on the repayment terms if you break your contract […]
What is a variable rate?
The interest rate that may change during your term. Based on whatever the lender’s prime rate is. (would range from prime minus a percentage to prime plus a percentage) Typically, if prime goes up, your rate goes up and your payments go up. If prime goes down, your rate goes down and your payments go […]
What is a fixed rate?
refers to the type of interest rate that stays the same for the entire length of your term payments are based on the rate and will not change (unless you choose to increase them) can be open or closed offers stability