Your mortgage is likely the largest debt you’ll have in your life. When you agree to a mortgage, you’re signing a legal contract promising to repay the loan plus interest and other costs. Your home is collateral for that loan. The principal is simply the sum of money you borrowed to buy your home. To lower your principal amount upfront, you can put down a percentage of the home’s purchase price as a down payment.

In addition to your principal and interest, your mortgage payment will likely include taxes. The taxes are property taxes your community levies based on a percentage of the value of your home. Lenders won’t let you close the deal on your home purchase if you don’t have home insurance, which covers your home and your personal property against losses from fire, theft, bad weather and other causes.

Check how much the mortgage for your house would cost by using our Mortgage Calculator

ADVANTAGES OF USING A MORTGAGE BROKER:

INDEPENDENT ADVICE

Because we provide mortgages from various lenders, you're not tied to one lender or one type of mortgage.

MORE MORTGAGE CHOICES

Through our Mortgage Market technology, we have electronic access to major lenders in Canada, so we're able to show you a wide range of rates and features available to you.

WE WORK HARD TO GET YOU A COMPETITIVE RATE

Fast, convenient, local service. We are here to keep your mortgage moving forward. What's more, you're working with a local business person with ties to the communities where they do business.

SPECIALIZED KNOWLEDGE

Through training and certification, we have a good understanding of available products, features, and rates. We're also great at explaining the sometimes complex industry specific language in everyday terms, so you know exactly what you're getting into.

REPUTABLE LENDERS

We deal with reputable and established Canadian financial institutions. Plus, we have access to mortgage specialist-only lenders who offer competitive rates and features that you may not find at your local financial institution.

FAQ

What is a mortgage stress test?

A mortgage stress test is a mandatory Canadian qualification rule that checks if a borrower can still afford their mortgage payments if interest rates rise, it ensures borrowers can handle higher payments. This applies to insured and uninsured. 

What is the difference between a mortgage term and amortization?

A mortgage tern is the duration of your contract with lender, fixing the interest rate and conditions, while the amortization period is the total time required to pay off the entire mortgage. You will renew your term several times before the amortization period ends. 

What is the minimum down payment in Canada?

In Canada, the minimum down payment is 5% on the first $500,000 of a homes purchase price, and 10% on the portion above $500,000. For homes priced at $1.5 million or more, a minimum 20% down payment is required. Down payments of less than 20% require mandatory mortgage default insurance. 

What are prepayment penalties?

A prepayment penalty is a fee charged by leaders when a borrower pays off all or part of a loan (typically a mortgage) earlier than scheduled, often within 3 to 5 years of closing. Lenders use this fee to recover lost interest income. It usually applies to closed mortgages when refinancing, selling, or paying large lump sums. 

Should I choose a fixed or variable rate?

Fixed rate mortgages offer stability with consistent payments, while variable rate mortgages fluctuate with the leaders prime rate, potentially offering lower rates and savings over time. Fixed rates provide security against rising costs, whereas variable rates carry risk but often have lower break penalties. Choose fixed for stability, variable for potential savings. Ask us which would work best for you!

What are closing costs?

Closing costs are one time fees paid to finalize a real estate transaction, sperate from the down payment and purchase price. They generally range from 1.5% to 4% of the homes purchase price. These costs cover legal fees, taxes, and administrative expenses required to transfer property ownership. 

How can I pay off my mortgage faster?

To pay off your mortgage faster, maximize your repayment privileges by making extra payments, such as annual lump sums. switch to accelerated bi-weekly payments to make one extra monthly payment per year. Increase your regular payment amount and choose shorter amortization period to reduce interest costs.