Blog Post

Looking for a new mortgage? Start here.

Anita Groves • Jul 02, 2020

It’s safe to say that things have (mostly) calmed down in the mortgage world since the beginning of COVID-19. The rush of mortgage deferral applications appears to be behind us. So if you’re looking for a new mortgage, right now is an excellent time to get things going!

Even before we’ve discussed your financial situation, and you’ve completed an online mortgage application, the best place to start is to collect all your supporting documents and have them accessible ahead of time. This is the absolute best way to ensure there won’t be any surprises down the line and that we’re dealing with concrete numbers, and not estimates.

Most lenders won’t entertain any type of mortgage approval without providing supporting documents along with the application. Here are some of the documents you will be required to provide.

Income documents if you are employed:

Letter of employment
Two recent paystubs
Notice of Assessments (NOA) for the past two years
T4 or T4A’s’s for the past two years

Income documents if you are self-employed:

Company Financial Statements for the past two years
T1 Generals with your statement of business activity
Notice of Assessments (NOA) for the past two years
Confirmation of being self-employed for more than three years
Confirmation of company ownership

Down payment confirmation:

90-day bank statements for your downpayment (in your account)
Confirmation of 1.5% for closing costs
Gift letter if any of the funds are going to be gifted
Current mortgage statement and unconditional offer to purchase for your current property (once available) if your downpayment is coming from the sale of a property

For any existing properties:

Your current mortgage statement
Your current property tax statement
Your current lease agreement (if applicable)

Other documents:

Void Cheque for the account you would like your payments to come from
2 Pieces of Identification
A separation agreement (if applicable)

Making sure you have all your documents together ahead of time will give you the best chance at a smooth mortgage transaction. If you have any questions, please don’t hesitate to contact me anytime!

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Anita Groves

PROFESSIONAL MORTGAGE BROKER

Download My Mortgage App HERE

Mortgage Options for Older Canadians

By Anita Groves • 24 Apr, 2024

Although it’s ideal to have your mortgage paid off by the time you retire, that isn’t always possible in today’s economy. The cost of living is considerably higher than it has ever been, and as a result, many Canadians are putting off retirement, hoping to make just a bit more money to add to that nest egg. So if you find yourself in the position where you’re considering your mortgage options into retirement, you’ve come to the right place. The advantage of working with an independent mortgage professional instead of a single bank is choice. When you work with an independent mortgage professional, you won’t be limited to an individual institution’s products; rather, you will have access to considerably more options. Here are some options available to older Canadians as they plan for mortgage financing through their retirement. Standard Mortgage Financing If you’ve got a steady income, decent credit, and equity in your home, there is no reason you shouldn’t qualify for standard mortgage financing, which usually comes at the lowest interest rates and best terms. Some lenders use pension and retirement income to support your mortgage application even if you’ve already retired. Reverse Mortgage Financing A reverse mortgage allows Canadian homeowners 55 years and older to borrow money from their homes with no proof of income, no credit check, and no health questions. A reverse mortgage is a fabulous mortgage solution that has helped thousands of older Canadians enhance their lifestyle. Home Equity Line of Credit (HELOC) A line of credit secured to the equity you have in your home is an excellent tool to allow you to access money when you need it but not pay interest if you don’t need it. Many older Canadians like the idea of rolling all their expenses and income into one account. Private Financing If you happen to be in a bit of a tight spot, you have a plan but need a financial solution; private financing might be the answer. Indeed not the first choice for many because of the higher interest rates. However, private financing can provide you with options where a traditional bank can’t. If you have any questions about securing mortgage financing for your retirement, please connect anytime. It would be a pleasure to work with you and walk you through all your options.

A First Home Savings Account (FHSA)

By Anita Groves • 18 Apr, 2024

Dreaming of owning your first home? A First Home Savings Account (FHSA) could be your key to turning that dream into a reality. Let's dive into what an FHSA is, how it works, and why it's a smart investment for first-time homebuyers. What is an FHSA? An FHSA is a registered plan designed to help you save for your first home taxfree. If you're at least 18 years old, have a Social Insurance Number (SIN), and have not owned a home where you lived for the past four calendar years, you may be eligible to open an FHSA. Reasons to Invest in an FHSA: Save up to $40,000 for your first home. Contribute tax-free for up to 15 years. Carry over unused contribution room to the next year, up to a maximum of $8,000. Potentially reduce your tax bill and carry forward undeducted contributions indefinitely. Pay no taxes on investment earnings. Complements the Home Buyers’ Plan (HBP). How Does an FHSA Work? Open Your FHSA: Start investing tax-free by opening your FHSA. Contribute Often: Make tax-deductible contributions of up to $8,000 annually to help your money grow faster. Withdraw for Your Home: Make a tax-free withdrawal at any time to purchase your first home. Benefits of an FHSA: Tax-Deductible Contributions: Contribute up to $8,000 annually, reducing your taxable income. Tax-Free Earnings: Enjoy tax-free growth on your investments within the FHSA. No Taxes on Withdrawals: Pay $0 in taxes on withdrawals used to buy a qualifying home. Numbers to Know: $8,000: Annual tax-deductible FHSA contribution limit. $40,000: Lifetime FHSA contribution limit. $0: Taxes on FHSA earnings when used for a qualifying home purchase. In Conclusion A First Home Savings Account (FHSA) is a powerful tool for first-time homebuyers, offering tax benefits and a structured approach to saving for homeownership. By taking advantage of an FHSA, you can accelerate your journey towards owning your first home and make your dream a reality sooner than you think.