Mortgages

Our Options to Support Your Journey

mortgages

The Pre-Approval Process

Getting pre-approved for a mortgage is a critical first step in the home-buying journey. It helps you understand your budget and shows sellers you’re a serious buyer.


Common Questions About Mortgage Pre-Approval

  1. What is a mortgage pre-approval?
  • Pre-approval is a lender’s confirmation of how much you can borrow based on your income, credit score, and other financial details.
  1. What documents do I need for pre-approval?
  • You’ll typically need proof of income (pay stubs or tax returns), proof of down payment, ID, and permission for a credit check.
  1. How long does pre-approval take?
  • Pre-approval can take anywhere from a few hours to a few days, depending on the complexity of your situation.
  1. How long is a pre-approval valid?
  • Most pre-approvals are valid for 90 to 120 days, giving you time to house hunt while locking in an interest rate.
  1. Does pre-approval guarantee I’ll get the mortgage?
  • No, final approval depends on the property, your financial situation at the time, and any changes in interest rates or lending criteria.

We’ll make the pre-approval process smooth and straightforward, so you can confidently move forward in your home-buying journey.

Check out our Resources (add button) here for more information on The Pre-Approval process, specifically - the 10 commandments on what NOT to do once you get pre-approved



mortgages

First Time Home Buyers

Being a first time home buyer is exciting and overwhelming at the same time. You have planned and dreamed of it for so long that when the time has come to finally make the biggest financial decision of your life, it all seems so surreal!

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Your Mortgage Needs can help you start the process of home ownership and build a foundation for a better future. Investing in your own home is essentially investing in yourself; by building equity and eventually getting a high return on investment. Whether you are recently graduated, just married or simply tired of throwing your money away into rent every month, our team is committed to providing answers to all your mortgage questions.

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With our unbiased advice, our team is dedicated to working closely with you to find the best mortgage solution for your needs!


Buying your first home is an exciting milestone, but it can also feel overwhelming. At Your Mortgage Needs, we’re here to guide you every step of the way and make the process as simple and stress-free as possible.

The Benefits of Being a First-Time Home Buyer in Canada

As a first-time buyer, you have access to several programs and incentives designed to make homeownership more affordable:



  1. First Home Savings Account (FHSA):
    Save up to $40,000 tax-free for your first home. Contributions are tax-deductible, and withdrawals for a qualifying home purchase are tax-free. It’s like combining the benefits of an RRSP and a TFSA!
  2. Home Buyers' Plan (HBP):
    Withdraw up to $35,000 from your RRSP to put towards your down payment, without paying tax on the withdrawal.
  3. 30-Year Amortizations:
    A longer amortization period can mean lower monthly mortgage payments, making homeownership more accessible while you’re starting out.


We’ll help you navigate these programs and show you how to maximize your benefits while finding the right mortgage for your needs.

  • Common Questions First-Time Home Buyers Ask

    • How much do I need for a down payment?
    • In Canada, the minimum down payment is 5% for homes under $500,000, and higher for more expensive properties.
    • What’s the difference between fixed and variable rates?
    • Fixed rates stay the same for your term, while variable rates can change with the market. We’ll help you decide which option works best for you.
    • How much can I afford?
    • We’ll walk you through your budget, pre-approval, and strategies to find a home you love within your means.

    Ready to take the first step? Let us guide you to your first home with expert advice and personal care.

FAQ’s for First Time Home Buyers

  • 1.What is the minimum down payment required in Canada?

    For homes priced up to $500,000, the minimum down payment is 5%. For the portion of the price between $500,000 and $1 million, it's 10%. Homes over $1 million require a 20% down payment.

  • 2.What is the First Home Savings Account (FHSA)?

    The FHSA allows first-time buyers to save up to $40,000 tax-free. Contributions are tax-deductible, and withdrawals for a qualifying home purchase are tax-free, combining benefits of RRSPs and TFSAs.

    Wikipedia

  • 3.How does the Home Buyers' Plan (HBP) work?

    The HBP lets you withdraw up to $35,000 from your RRSP to buy or build a qualifying home. Withdrawals are tax-free if repaid within 15 years.

    Wikipedia

  • 4.What are the benefits of a 30-year amortization?

    A longer amortization period reduces monthly mortgage payments, making homeownership more affordable. However, it may result in higher overall interest paid over the life of the loan.

  • 5.What other incentives are available for first-time buyers?

    Programs like the First-Time Home Buyer Incentive offer shared equity mortgages to reduce monthly payments. Additionally, some provinces provide land transfer tax rebates.

  • 6. What is the First-Time Home Buyers' Tax Credit (HBTC)?

    The HBTC is a non-refundable tax credit that allows first-time home buyers to claim up to $1,500 on their tax return, helping to offset some of the costs associated with purchasing a home.

    Government of Canada


  • 7. What is mortgage loan insurance, and when is it required?

    Mortgage loan insurance protects lenders against default and is required when your down payment is less than 20% of the home's purchase price. It allows you to secure a mortgage with a lower down payment.

  • 8. What are closing costs, and how much should I budget for them?

    Closing costs include expenses like legal fees, land transfer taxes, and home inspections. It's advisable to budget 1.5% to 4% of the home's purchase price for these costs.

  • 9. How do I get pre-approved for a mortgage?

    Pre-approval involves a lender reviewing your financial situation to determine how much they are willing to lend you. This process can give you a clear budget and show sellers you're a serious buyer.

MORTGAGEs

Buying a New Home And Selling Your Existing Home

Buying a new home while selling your current one can feel like a juggling act, but with the right plan, it doesn’t have to be stressful.



How We Help:

  1. Strategic Planning:
    We’ll coordinate your timelines to ensure you’re not left with two mortgages—or none!
  2. Bridge Financing:
    Need funds to buy before your sale is final? Bridge loans can help. We’ll explain how they work and whether they’re the right fit.
  3. Porting Your Mortgage:
    Love your current mortgage rate? You might be able to take it with you to your new home.

Common Questions About Buying and Selling:

  • How do I sync my purchase and sale closing dates?
    We’ll work with you and your real estate agent to create a seamless plan.
  • What happens if my home doesn’t sell in time?
    Bridge financing can provide short-term support.


Let us handle the details so you can focus on finding your next dream home!

FAQ’s for Buying a New Home and Selling your Existing Home

  • Should I sell my current home before buying a new one?

    Selling first can provide a clear budget for your next purchase and prevent carrying two mortgages. However, buying first ensures you have a new place to move into. Consider market conditions and your financial situation.

  • What is bridge financing?

    Bridge financing is a short-term loan that covers the gap between buying a new home and selling your current one. It helps manage cash flow during the transition.

  • Can I port my mortgage to a new home?

    Many lenders allow you to transfer your existing mortgage to a new property, maintaining your current interest rate and terms. This can be beneficial if your current rate is lower than the market rate.


  • What are the costs involved in buying and selling simultaneously?

    Expect costs such as real estate commissions, legal fees, moving expenses, and potential penalties for breaking your mortgage early. Budgeting for these can prevent financial surprises.

  • How do I coordinate closing dates?

    Aligning the closing dates of your sale and purchase can minimize the need for temporary housing or storage. Working closely with your real estate agent and lawyer is crucial for seamless coordination

  • What is a home sale contingency?

    A home sale contingency is a clause in a purchase offer that makes the sale dependent on the buyer selling their current home. This can protect buyers from owning two homes simultaneously.

  • How can I determine the right listing price for my current home?

    Working with a real estate agent to conduct a comparative market analysis (CMA) can help you set a competitive and realistic listing price based on similar properties in your area.


  • What are the tax implications of selling my home?

    In Canada, if the property was your principal residence, you might be exempt from capital gains tax. However, it's essential to consult with a tax professional to understand your specific situation.

  • How do I handle showings while still living in my home?

    Keeping your home clean and decluttered, setting specific showing hours, and working closely with your real estate agent can make the process smoother.

  • What should I do if my home isn't selling?

    Consider adjusting the price, enhancing your home's curb appeal, or making minor renovations. Feedback from potential buyers can also provide valuable insights.


mortgages

Investment Properties

Thinking about building wealth through real estate? Investment properties can be a smart way to diversify your portfolio and create long-term income.



What You Need to Know:

  1. Down Payment Requirements:
    Unlike primary residences, investment properties typically require at least a 20% down payment.
  2. Rental Income Calculations:
    Rental income can help you qualify for a mortgage. We’ll show you how lenders assess this and maximize your purchasing power.
  3. Financing Options:
    Whether it’s a traditional mortgage or a more creative solution, we’ll find the right fit for your investment goals.

Common Questions About Investment Properties:

  • Can I use equity from my current home?
    Yes, you can! We’ll guide you through refinancing or using a HELOC to fund your purchase.
  • What are the tax implications?
    From capital gains to rental income, we’ll help you understand the basics so you can make informed decisions.


Let’s make your real estate investment journey a success.

FAQ’s for Investment Property Purchases

  • What is the minimum down payment for an investment property?

    Investment properties typically require a minimum down payment of 20% of the purchase price.

  • How does rental income affect mortgage qualification?

    Lenders may consider a portion of your expected rental income when determining your mortgage eligibility, which can increase your borrowing capacity.


  • What are the tax implications of owning an investment property?

    Rental income is taxable, but you can deduct expenses like mortgage interest, property taxes, and maintenance. Capital gains tax applies when you sell the property at a profit.


  • Should I buy a property in my name or through a corporation?

    Owning property personally is simpler and may offer tax advantages for small-scale investors. Holding properties in a corporation can provide liability protection and potential tax benefits for larger portfolios.

  • What financing options are available for investment properties?

    Options include conventional mortgages, home equity lines of credit, and private lending. Each has its own terms and qualification criteria.

  • What is the difference between a fixed and variable mortgage rate for investment properties?

    A fixed-rate mortgage has a constant interest rate throughout the term, providing stability. A variable-rate mortgage can fluctuate with market conditions, which might offer savings but comes with more risk.


  • How do I calculate the return on investment (ROI) for a rental property?

    ROI can be calculated by dividing the annual net income (rental income minus expenses) by the property's purchase price and multiplying by 100 to get a percentage.

  • What are the responsibilities of being a landlord in Canada?

    Landlords must maintain the property, adhere to provincial rental laws, handle tenant issues, and ensure the property is safe and habitable.

  • How can I finance multiple investment properties?

    Options include refinancing existing properties to access equity, securing lines of credit, or working with lenders specializing in investment property financing.

  • What is a cap rate, and why is it important?

    The capitalization rate (cap rate) is a metric used to evaluate the profitability of an investment property. It's calculated by dividing the net operating income by the property's current market value.

mortgages

Purchase Plus Improvements

At Your Mortgage Needs, we know that finding the perfect home isn’t always about the current condition—it’s about potential. With our Purchase Plus Improvements program, you can finance both the purchase price of your new home and the cost of necessary renovations or upgrades. Let us help you make your dream home a reality, with one simple mortgage that covers everything.



Found the perfect fixer-upper? A Purchase Plus Improvements mortgage allows you to include renovation costs in your mortgage, so you don’t need to worry about upfront expenses.

How It Works:

  1. Get Pre-Approved:
    We’ll determine how much you qualify for, including funds for improvements.
  2. Plan Your Renovations:
    Provide quotes for your planned upgrades—whether it’s a new kitchen, bathroom, or finishing the basement.
  3. Access the Funds:
    Once the renovations are complete and verified, the additional funds will be released.


Common Questions About Purchase Plus Improvements:

  • What types of renovations qualify?
    Most upgrades that add value to the property, like structural improvements or energy-efficient updates, are eligible.
  • How much extra can I borrow?
    Typically, up to 10-20% of the property’s value or a capped amount based on lender guidelines.



Turn your house into your dream home with our guidance.

FAQ’s for Investment Property Purchases

  • What is a Purchase Plus Improvements mortgage?

    his mortgage allows you to finance both the purchase of a home and the cost of planned renovations, combining them into a single mortgage.

  • How much can I borrow for renovations?

    Typically, you can borrow up to 10% to 20% of the property's as-improved value, subject to lender approval.

  • What types of renovations are eligible?

    Eligible renovations usually include structural repairs, kitchen or bathroom remodels, and energy-efficient upgrades. Cosmetic changes may not qualify.


  • How does the disbursement process work?

    Funds for renovations are held in trust and released upon completion of the work and inspection. You'll need to cover renovation costs upfront or arrange interim financing.


  • What are the benefits of this program?

    It allows you to customize your new home immediately and can increase the property's value, potentially leading to greater equity.


  • Can I use this program for cosmetic upgrades?

    Yes, as long as the improvements add value to the property and are approved by the lender. Examples include painting, flooring, or kitchen updates.


  • How do I estimate renovation costs accurately?

    Obtaining detailed quotes from licensed contractors and adding a contingency for unexpected expenses can help ensure accurate estimates.


  • What happens if renovation costs exceed the initial estimate?

    If costs exceed the approved amount, you'll need to cover the difference out of pocket, as lenders typically won't increase the mortgage amount after approval.


  • ow long do I have to complete the renovations?

    Lenders usually require renovations to be completed within a specific timeframe, often 90 to 180 days after closing.


  • Do I need to hire licensed contractors for the renovations?

    Yes, most lenders require that renovations be completed by licensed professionals to ensure quality and compliance with building codes.

mortgages

Mortgage Renewal

When it is time to renew your mortgage, your existing lender will offer you moderate discounts. In most cases, you would sign a letter that was received by mail and be done with it. This may sound easy and painless, but you may have lost thousands of dollars by doing this over the new term of your mortgage. Your Mortgage Needs can help you find the right option that prevents more money from leaving your pocket.


At Your Mortgage Needs, we’re here to make your mortgage renewal stress-free. Our dedicated team will keep a close eye on your options as your renewal date approaches, ensuring you’re always in the best position to secure the most competitive rate.

Consider setting up a mortgage renewal reminder if:

  1. You have a mortgage and want peace of mind.
  2. You’re concerned about paying more interest when it’s time to renew.
  3. You’re worried about your monthly payments going up at renewal.
  4. You own rental properties and want to make sure they continue to cash flow when your mortgage renews.


Mortgages Coming Up for Renewal

Renewal time is a perfect opportunity to reassess your mortgage and potentially save money.

Common Questions About Mortgage Renewals

Common Questions About Mortgage Renewals

  1. What happens when my mortgage term ends?
  • At the end of your term, your lender will offer a renewal, usually with new rates and terms. You can accept their offer or explore other options.
  1. How do I negotiate a better rate with my existing lender?
  • Research current rates and let your lender know you’re shopping around. They often offer better rates to retain your business.
  1. Can I switch to a new lender at renewal time?
  • Yes, you can move your mortgage to another lender. There are no penalties at renewal, but you may need to cover appraisal or legal fees.
  1. How far in advance should I start the renewal process?
  • Start at least 120 days before your renewal date to secure the best rate and allow time to explore your options.
  1. What should I consider when renewing my mortgage?
  • Think about your financial goals, such as paying down your mortgage faster or reducing monthly payments, and choose terms that align with these objectives.



mortgages

Refinancing Your Mortgage

Refinancing lets you access your home’s equity or secure better terms on your mortgage.


Common Reasons to Refinance

  1. Debt Consolidation:
  • Combine high-interest debts (like credit cards or loans) into your mortgage for a lower interest rate and a single monthly payment.
  1. Home Improvements:
  • Use your equity to fund renovations that increase your property’s value or enhance your living space.
  1. Investing:
  • Access funds to invest in other properties, education, or retirement planning.
  1. Lower Monthly Payments:
  • Extend your amortization period or secure a lower interest rate to reduce your payments and improve cash flow.
  1. Emergency Funds:
  • Access your equity to cover unexpected expenses, medical costs, or major purchases.



Common Questions About Refinancing

  1. How much equity can I access?
  • In Canada, you can refinance up to 80% of your home’s appraised value, minus your remaining mortgage balance.
  1. What are the costs of refinancing?
  • Costs may include appraisal fees, legal fees, and possible penalties for breaking your current mortgage term early.
  1. How do I know if refinancing is right for me?
  • Consider your financial goals, current interest rates, and the costs associated with refinancing. We’ll help you evaluate the benefits and drawbacks.
  1. Can I refinance if I have bad credit?
  • Yes, but your options may be limited, and the interest rate might be higher. We’ll help you explore alternative lenders or strategies.
  1. How long does refinancing take?
  • The process typically takes 2–4 weeks, depending on the complexity of your situation and the lender’s requirements.


mortgages

Reverse Mortgages

If you're 55 or older, you can purchase a home or refinance your home with a reverse mortgage, it could be the solution to unlocking the equity in your home while staying in it. With Your Mortgage Needs, we make the process easy and stress-free, so you can enjoy the financial freedom you deserve. Whether it’s supplementing your retirement income or covering unexpected expenses, we’ll guide you through the options to help you make the best decision for your future.


If you’re 55 or older, a reverse mortgage can help you access up to 55% of your home’s equity without selling your home.



Why Consider a Reverse Mortgage?

  • Supplement your retirement income.
  • Cover unexpected expenses or help with major purchases.
  • Stay in the home you love while leveraging its value.

How It Works:

  1. Borrow against your home’s equity with no monthly payments required.
  2. Repay the loan when you sell the home or from your estate.


Common Questions About Reverse Mortgages:

  • Will I still own my home?
    Yes, you retain ownership.
  • What happens to my estate?
    Any remaining equity belongs to you or your heirs after the loan is repaid.



We’ll help you understand if this option fits your needs and secure the best solution.

FAQs for Reverse Mortgages

  • What is a reverse mortgage?

    A reverse mortgage allows homeowners aged 55 and over to access up to 55% of their home's equity without selling the property. The loan is repaid when you sell the home or move out.

    Government of Canada


  • How much can I borrow with a reverse mortgage?

    The amount depends on factors like your age, home's value, and location. Older homeowners with higher-value homes can typically borrow more.


  • What are the costs associated with a reverse mortgage?

    Costs may include higher interest rates than traditional mortgages, home appraisal fees, setup fees, and legal fees. These can often be financed through the reverse mortgage itself. 

    Government of Canada


  • Will I still own my home?

    Yes, you retain ownership and can live in your home as


  • How does interest accrue on a reverse mortgage?

    Interest is added to the loan balance over time, meaning the amount owed increases. However, you don't have to make regular payments; the loan is repaid when you sell the home or move out.

     Government of Canada

  • Can I make payments on a reverse mortgage?

    While not required, some lenders allow voluntary payments to reduce the principal and interest accumulation.


  • What happens if the loan amount exceeds the home's value?

    In Canada, reverse mortgages are non-recourse loans, meaning you or your estate won't owe more than the home's fair market value at the time of sale.

    Government of Canada


  • Are there any restrictions on how I can use the funds?

    No, you can use the funds for any purpose, such as home renovations, medical expenses, or supplementing retirement income.


  • How will a reverse mortgage affect my estate?

    The loan balance,

  • What is a cap rate, and why is it important?

    The capitalization rate (cap rate) is a metric used to evaluate the profitability of an investment property. It's calculated by dividing the net operating income by the property's current market value.

mortgages

Buying a Home For Family/Second Home Program

At Your Mortgage Needs, we understand that your family’s needs go beyond just your own household. Our Buying a Home for Family program can help you purchase a property for your loved ones or a second home. Whether you’re helping your children get started or securing a getaway for yourself, we’ll work with you to find the right solution that fits your goals.


Keeping Your Existing Primary Residence and Buying a New Primary Residence

Owning two homes—your current and a new primary residence—can open up exciting possibilities, but it requires careful financial planning. Here’s what you need to know:



Common Questions About Keeping and Buying

  1. How can I qualify for a second mortgage while keeping my current home?
  • Lenders will assess your income, debt levels, and the equity in your current home.
  • If you plan to rent out your existing home, potential rental income can sometimes be factored into your mortgage qualification.
  1. Can I use the equity in my current home as a down payment on the new property?
  • Yes, through a refinance or a Home Equity Line of Credit (HELOC), you can access the equity in your current home for the down payment on the new home.
  1. What are the tax implications of keeping my existing home?
  • If your current home becomes a rental property, you may need to declare the change to the Canada Revenue Agency (CRA) and could be subject to capital gains tax when you sell.
  1. Do I need additional insurance for a second property?
  • Yes, rental properties require landlord insurance, while a second primary residence will need standard home insurance.
  1. What are the risks of owning two properties?
  • Risks include vacancy in the rental property, managing two mortgages, and unexpected maintenance costs. Proper budgeting and contingency planning can help mitigate these risks.


mortgages

Self Employed Borrowers

As a self-employed professional, your financial situation is unique—but that doesn’t mean getting a mortgage has to be difficult. At Your Mortgage Needs, we specialize in helping self-employed borrowers secure the financing they need, even if their income doesn’t fit the traditional mold.



Common Questions About Mortgages for Self-Employed Borrowers

  1. How is income verified for self-employed borrowers?
  • Unlike salaried employees, lenders often require documents like Notice of Assessments (NOAs), T1 Generals, business financial statements, or bank statements to verify income.
  1. Can I qualify for a mortgage with fluctuating income?
  • Yes, lenders can average your income over the past two years to account for fluctuations. Alternative lenders may also offer flexible options.
  1. What is the minimum down payment required?
  • Just like traditional borrowers, self-employed individuals need at least 5% down for homes under $500,000 and more for higher-priced properties.
  1. What if my declared income is low due to business expenses?
  • Many lenders use stated income programs, which consider your ability to repay the mortgage based on business cash flow rather than just declared income.
  1. Are there any specific programs for self-employed borrowers in Canada?
  • Some lenders offer tailored programs like BFS (Business For Self) mortgages, which cater to entrepreneurs and small business owners.

We’ll help you navigate the process, ensuring your hard work as a self-employed professional translates into homeownership without unnecessary stress.

mortgages

Buying a Vacation Home

Your dream vacation home is closer than you think! Whether it’s a lakeside cottage, a ski chalet, or a peaceful retreat in the countryside, we’re here to make your dream a reality.


Common Questions About Buying a Vacation Home

  1. What is the minimum down payment for a vacation home?
  2. For personal-use vacation homes, you typically need a 5% to 10% down payment. If the property is considered a rental or seasonal, it may require a minimum of 20%.
  3. Can I use equity from my primary residence to buy a vacation home?
  4. Yes, through a HELOC or refinance, you can access the equity in your current home to fund your vacation property purchase.
  5. Do I need a different type of mortgage for a vacation home?
  6. It depends. If the home is for personal use and accessible year-round, it’s treated like a standard mortgage. Seasonal-use properties may have stricter requirements.
  7. What are the tax implications of owning a vacation home?
  8. If you sell the property for a profit, you may be subject to capital gains tax. Rental income from the property also needs to be reported to the CRA.
  9. How do I budget for ongoing costs?
  10. Consider expenses like property taxes, insurance, utilities, maintenance, and travel. We’ll help you create a realistic budget to manage costs.



With our expertise, buying a vacation home will be simple and stress-free—so you can focus on making memories in your home away from home.



mortgages

New To Canada

Starting a new chapter in Canada? Let us help you secure a home and make the transition easier. At Your Mortgage Needs, we specialize in helping newcomers find the best mortgage options to fit their unique situations.



Common Questions for Newcomers to Canada

  1. Can I get a mortgage without Canadian credit history?
  • Yes! Many lenders offer newcomer programs that use alternative forms of credit verification, such as international credit reports or proof of rent payments.
  1. What is the minimum down payment for newcomers?
  • If you’re a permanent resident, you can qualify with as little as 5% down. For non-permanent residents, the minimum is typically 10%.
  1. Do I need a job in Canada to qualify?
  • Having Canadian employment helps, but some lenders accept overseas income or job offer letters if you’ve recently moved.
  1. Are there special programs for newcomers?
  • Programs like the New to Canada Mortgage Program from major lenders cater specifically to recent immigrants, offering competitive rates and flexible terms.
  1. What other costs should I budget for?
  • Beyond the down payment, you’ll need to cover closing costs, property taxes, and home insurance.

We’re here to guide you every step of the way so you can confidently settle into your new life in Canada.


MORTGAGE SOLUTIONS

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