You might not know that the lending environment has changed greatly in the past few years, and rates today depend on many more variables: How much of a down payment you have, whether your mortgage will be insured, what your credit score is, and how severe a payout penalty you’re willing to risk. These are just a few of the variables that make up your final rate.
So rather than posting the absolute lowest rate possible on the assumption that every variable works out in your favour, let’s talk so we can determine what your particular situation is and what your rate might look like. We’d much rather do that then publish a rate you’d be disappointed if it wasn’t available to you. It takes a conversation with an industry professional to explain the pros and cons of any rate being offered. Call or email today so we can discuss your personal situation.
1. WORK WITH AN EXPERIENCED MORTGAGE BROKER
As a first-time buyer, surround yourself with Licensed professionals who can make the purchase of your largest asset a seamless and informative experience. Our network of Licensed Mortgage Brokers, Realtors, Lawyers, Appraisers, Inspectors, Insurance Brokers and Lenders will assist you from A to Z.
2. GET LENDER PREAPPROVED & INTEREST RATE PROTECTION
Shopping without a Lender preapproval and rate hold is bad news! Its like shopping blind. We will review your budget, purchase price range, obtain Lender approval and an interest rate hold for up to 120 days. Ensuring your pricing is protected and file ready to go for when you make an offer.
3. KNOW YOUR DWELLING STYLE
Are you searching for an urban condo? A spacious detached home with a yard and garage? Maybe an acreage where you will have room to grow? Having an idea in mind will help us plan for success
4. BE AWARE OF PURCHASE EXPENSES
In addition to the minimum 5% down payment, you will need to budget for closing costs, moving expenses and start up costs after moving in. We will review these in detail for you and build a homeowner budget so you have all your pricing top of mind.
5. USE AN EXPERIENCED REALTOR
Purchasing your first home is one of the largest transactions you (probably) will make in a lifetime. It is paramount that you have an experienced Realtor to guide you. We would be happy to connect you with industry leading professionals, but be sure you interview a few! Find someone you like and can trust to assist you with this transaction.
6. MAKE YOUR OFFER SUBJECT TO FINANCING
It is very important to make sure your Offer to Purchase includes a condition of financing, with a minimum of 7 business days to arrange your mortgage. This allows us enough time to finalize conditions/paperwork with the Lender. This is also our/your “out” clause from the purchase contract. It protects you!
7. HOME INSPECTION – IT’S A MUST!
A Home inspection is worth every penny! On average, be prepared to spend $500+, but it is money well invested. Whether the report finds minor or major defects, it could potentially save you thousands on repairs in the long run!
8. YOUR REAL ESTATE LAWYER
When your financing is complete, the Lender will send closing documents to your Real Estate Lawyer. You may not have a Lawyer yet, but we would be happy to connect with you the best! The Lawyer’s team reviews, prepares and finalizes your legal documents to register and fund the mortgage loan. Expect to spend a min $1000 on these services.
9. CLOSING DAY
This is the MOST exciting day! The end of the house hunt journey and the day you get the keys! Your Lawyer will handle the transfer of money from buyer to seller, allowing your Realtor to give you access to your beautiful new home! Congratulations!
WORDS OF WISDOM
This content was published March 25th, 2020. Some information may now be dated.
For most current and up to date information, contact The Salveo team.
As we continue to navigate our new reality, we are here to support you with financial updates.
Below are a list of invaluable links to Aid programs.
Canadian mortgage insurers, Genworth, Canada Guaranty, and Canada Mortgage and Housing Corporate (CMHC) are backing the current crisis and are working with our lenders to develop policies to either skip or defer payments on mortgages, loans, credit cards, and lines of credit for those experiencing a sudden loss of income due to COVID-19.
However, it’s important to know that these are on a case-by-case basis.
What is Case-By-Case?
Many lenders are still formulating their official policies on payment deferrals. However, there are three primary cases lenders are looking at:
- Laid off in an industry directly impacted by COVID-19
- Laid off in an industry NOT directly impacted by COVID-19 (ie. banks)
- Still working by have other factors impacting your ability to make a mortgage payment, such as taking care of someone who is sick or you are sick.
If you fall into one of these areas, please reach out to your lender directly either by phone or their online forms (websites available below). Please know, you may not receive an answer right away. As each case is different, it may take 3-5 business days for a response.
What you need to know:
Phone lines are currently very busy, so expect to wait at least 30 minutes to 1 hour for a representative. Many lenders are encouraging clients to review their online portals and policies. While you wait, we also encourage you to review the Government of Canada website for updated information about financial or business aid.
LENDER CONTACT INFORMATION
ATB Financial: 1-800-332-8383
B2B Bank: 1-800 263 8349 or firstname.lastname@example.org
BMO Financial Group: 1-877-895-3278
Bridgewater Bank: 1-866-243-4301 or email@example.com
CMLS Financial: 1-888-995-2657 or firstname.lastname@example.org
CWB Optimum Mortgage: 1-866-441-3775 or email@example.com
Equitable Bank: 1-866-407-0004 or firstname.lastname@example.org
Connect First Credit Union: 1-403-520-8000 | Contact
Chinook Financial: 1-403-934-3358 | Contact
First Calgary Financial: 1-403-736-4000 | Contact
First National Financial LP: 1-866-557-5509 or email@example.com
Haventree Bank: 1-855-272-0051 or MortgageServicing@haventreebank.com
HomeEquity Bank: 1-866-331-2447 or firstname.lastname@example.org
Home Trust Company: 1-855-270-3630 or email@example.com
ICICI Bank 1-888-424-2422 or firstname.lastname@example.org
Lendwise: 1-800-675-7022, Option 4
Manulife: 1-866-677-4366 or email@example.com
MCAP: 1-800-265-2624 or firstname.lastname@example.org
MERIX Financial 1-877-637-7881 or email@example.com
Marathon: 1-855-503-6060 or firstname.lastname@example.org
National Bank: 1-888-835-6281
RFA: (formerly Street Capital) 1-877-416-7873 or email@example.com
RMG: 1-866-809-5800 or firstname.lastname@example.org
Servus Credit Union: 1-877-378-8728
UPDATED 2019 TAX DEADLINES
Last updated March 18, 2020. Information provided from Canadian Department of Finance.
In order to provide greater flexibility to Canadians who may be experiencing hardships during the COVID-19 outbreak, the Canada Revenue Agency will defer the filing due date for the 2019 tax returns of individuals, including certain trusts.
- For individuals (other than trusts), the return filing due date will be deferred until June 1, 2020. However, the Agency encourages individuals who expect to receive benefits under the GSTC or the Canada Child Benefit not to delay the filing of their return to ensure their entitlements for the 2020-21 benefit year are properly determined.
- For trusts having a taxation year ending on December 31, 2019, the return filing due date will be deferred until May 1, 2020.
BOOSTING GST CREDIT AND CANADA CHILD BENEFIT PAYMENTS
Last updated March 18, 2020. Information provided from Canadian Department of Finance.
Government is proposing to provide a one-time special payment by early May 2020 through the Goods and Services Tax credit (GSTC). This will double the maximum annual GSTC payment amounts for the 2019-20 benefit year. The average boost to income for those benefitting from this measure will be close to $400 for single individuals and close to $600 for couples. This measure will inject $5.5 billion into the economy.
For over 3.5 million families with children, who may also require additional support, the Government is proposing to increase the maximum annual Canada Child Benefit (CCB) payment amounts, only for the 2019-20 benefit year, by $300 per child. The overall increase for families receiving CCB will be approximately $550 on average; these families will receive an extra $300 per child as part of their May payment. In total, this measure will deliver almost $2 billion in extra support.
Together, the proposed enhancements of the GSTC and CCB will give a single parent with two children and low to modest income nearly $1,500 in additional short-term support.
NATIONAL STUDENTS LOANS SERVICES UPDATE:
Last updated March 18, 2020. Information provided from National Students Loan Services.
To support student loan borrowers during the COVID-19 pandemic, the Government of Canada has announced its plan to pause the repayment of Canada Student Loans until September 30th, 2020, with no accrual of interest. Pending parliamentary approval, these measures will become effective March 30th, 2020. This will include pre-authorized debits. We will provide more details shortly.
Canada’s COVID Financial Assistance:
• Canada’s COVID-19 Economic Response Plan: Support for Canadians and Businesses. Click here.
• Employment and Corporate Notice of Benefits and services. Click here.
• Alberta Support for Employers and Employees. Click here.
• Canada Emergency Response Benefit (CERB). Click here.
• BDC How to cope with impacts of Covid-19. Click here.
• BDC Additional Measures to Provide Relief for Canadian Entrepreneurs. Click here.
• How EDC is helping exporters during COVID-19. Click here.
• CFIB Covid-19 Small Business Help Centre. Click here.
• Government of Canada: Financial help for Canadians outside Canada. Click here.