The many benefits of homeownership do not come without their costs. Purchasing a home is likely to be one of the largest transactions you ever make, and the more knowledge you have about the costs associated with a home purchase, the better your position will be when it comes time to search for your dream home. When speaking with clients, a question that is asked frequently is whether Mortgage Default Insurance is required on their purchase. To help those who are currently in the market for a home, or might be searching for a home in the future, below are some guidelines to consider when factoring Mortgage Default Insurance into your purchase.

Title insurance is a legal form of assurance as to the state of a property’s title. It protects lenders and purchasers against loss or damage suffered due to fraud, survey errors, encroachment issues, existing undisclosed liens, as well as any other issues that prevent you from having clear ownership of your property.

In previous generations Canadians have focused on paying off their mortgage as quickly as possible, accelerating their payments and shortening their amortization. A lot of our parents, who were instructed by their parent’s generation subscribed to this philosophy.

For mortgage qualification, many lenders now accept Child Tax Credit as income. Most lenders require that the child be no older than 16 years of age.

Remember when your broker or banker asked you which you would prefer a fixed-rate mortgage or a variable? Most Canadians based their decision on the rates of the day and how much they would save against the fear of rates moving up.

If you are business for self, as a sole proprietor or incorporated or commissioned income you know how hard it is to get a loan with traditional bank practices. Writing off your allowable amounts on your income tax return often resulted in less claimed income and decreased your borrowing ability.

The pandemic has changed “why” Canadians renovated. Remax 2021 Renovation Investment Reported that more than half of Canadians renovated their home in 2020, with 29% of those renovating to enhance lifestyle and only 16% to increase market value.