Mortgage 101

The first rule of affordability is that on a monthly basis you should not pay more than 32% of your gross household income on housing costs or P.I.T.H. (principal and interest, taxes, and heating expenses). These costs will also contain half of your monthly condominium fees and the entirety of any applicable leasehold tenure. Lenders [...]

Review the following websites to get a look into up-to-date mortgage rates and lending requirements. Take advantage of the interactive mortgage calculators found on many of the sites to help assess your position.
(in alphabetical order)
Bank of Montreal
www.bmo.com
Bank of Nova Scotia
www.scotiabank.com
Canadian Imperial Bank of Commerce
www.cibc.com
Canada Mortgage
www.canadamortgage.com
Hong Kong Bank of Canada
www.hsbc.com
Laurentian Bank of Canada
www.laurentianbank.com
National Bank of [...]

The following list provides you with an overall guideline as to the documents you will need when you go to your mortgage broker’s. Keep in mind that most mortgage brokers have their own forms which they require, as do lenders with their own requirements and restrictions for specific documentation, thus this is meant to be [...]

Mortgage Financing – Why is Now a Good Time?
The early bird catches the worm, and prime real estate at a better price! Starting early to secure a mortgage is an essential part of the buying process. Pre-approval puts you ahead of the game when the bargaining begins, and also puts in place any financial boundaries [...]

1.   What types of loans do you offer?
2.   Can you please outline the terms and conditions of each loan?
(ie. How often does the interest rate change? Are there any
prepayment privileges? What is the renewal term?)
3.   Do fixed rates or variable rates apply to those loans?
4.   What are the particulars of the prepayment privileges?
5.   Is the [...]

Types of Mortgages
The following are the types of mortgages one will normally encounter.
Conventional Mortgages
When the total loan amount is the lesser of not more than seventy five percent of the purchase price or the approved value of the property, and issued by an institutional lender (trust company, bank, etc.).
High Ratio Mortgage
These mortgages must be insured, [...]