If you are considering a new home in the future, but aren't quite sure what you need. I can help you get prepared and ready for a successful purchase in the future. This journey does not need to be stressful.

Are you at that stage of your life, that you are considering purchasing a home. But do you ask yourself, Where do I start?

Well it's not as hard as it is. You need to understand the basics. So let's start with What is a Mortgage?

When you buy a home, you may only be able to pay for part of the purchase price. The amount you pay is a down payment which can be anywhere from 5% to 20% or more. The remaining costs of the home purchase, is where the lender comes in to help you out. This is called a loan where a lender helps you to pay for the home purchase which is a mortgage.

A mortgage is a legal contract between you and your lender. It specifies the details of your loan and it’s secured on a property, like a house or a condo.

With a secured loan, the lender has a legal right to take your property. They can do so if you don’t respect the conditions of your mortgage. This includes paying on time and maintaining your home.

Unlike most types of loans, with a mortgage:

  1. Your loan is secured by a property
  2. You may have a balance owing at the end of your contract
  3. You normally need to renew your contract multiple times until you finish paying your balance in full
  4. You may have to meet qualification requirements including passing a stress test
  5. You need a down payment
  6. You may need to break your contract and pay a penalty
  7. Your loan is typically for an amount in the hundreds of thousands of dollars

Perhaps you may not have the down payment for your home purchase, but since you are looking towards the future. The best way is to start saving for your down payment. Look at where you can save and start saving. A great way is putting a percentage of your pay towards a house fund account. Check your credit report ensuring that you have a credit score of a minimum of 680. Make sure your debt is a minimum, such as Line of Credits, credit cards etc.

New Home Mortgage for the Future

Quick Inquiry

Quick Inquiry Form

✓ Valid