Frequently Asked Questions

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Add an answer to this item. For starters, working with a licensed mortgage broker can actually save you money! As a broker, I have access to dozens of lenders and their mortgage products, while banks only have access to their branch’s specific products. I will do the shopping for you to find the best rate and terms to meet your needs.  

 A pre-approval is an in-depth look at your finances and credit history to determine what sort of home you can afford. While not necessary for house hunting, it does make the process much smoother and increases your chances of getting an accepted offer. A pre-approval tells the seller that you’re both: serious about buying their home and able to do so.  

The minimum down payment you need for a house depends on the purchase price of the home. It can range anywhere from 5% of the purchase price up to 20%. Here’s a breakdown.

If the home is worth: 

$500,000 or less - 5% of the purchase price

$500,001 to $999,999 - 5% of the first $500,000 and 10% on the remaining portion

$1 million or more - 20% of the purchase price

Your down payment can also depend on your credit score and the purpose of the home. Contact me for specifics.

The short answer is yes. Both gifted and borrowed funds are allowed. That said, gifted funds should only come from immediate family members with no expectation of being paid back. The gifter will need to sign a letter certifying that the money will not be repaid.

Borrowed money can come from anyone but is subject to relevant taxes, potentially adding to your total debt service and affecting your mortgage applicability.  

 A variable-rate mortgage is a mortgage loan that has an interest rate that fluctuates as the prime lending rate changes. The result is typically lower monthly payments.

A fixed-rate mortgage is a mortgage loan with a fixed interest rate over the duration of the loan meaning your payments will never change. 

It can vary by lender but a typical mortgage requires a minimum credit rating of 600, with the optimal being above a 680. The general rule is: 

The higher your credit score, the more likely you are to get a mortgage. 

Concerned about your credit? Give me a call. I may be able to find a mortgage that will work for you. If you credit is less than ideal, I can give you tips to increase your score to help you buy a home down the road, I am with you for the long haul.

 Yes! But it does require a bit more paperwork. If you’reself-employedd and applying for a mortgage, you’ll need:

• Notice of assessment for the last two to three years
• Full personal tax returns for the last two to three years
• Proof that your company’s GST account is paid in full
• Authorization for your broker to check both your personal and business credit scores, and 
• Proof of business ownership and a copy of your business license or Articles of Incorporation 

Absolutely. There are a number of financing options for you if you’ve filed for bankruptcy. The biggest determining factor is your credit score, so focus on getting that back in shape. Typically you’ll be able to qualify for a mortgage two years after you’re discharged from your bankruptcy.