February 28, 2019, BY Brittany
As frightening as this process can be, we’ve broken down some of the key terms that first time home buyers need to be aware of. We've included mortgage calculator and mortgage comparison tools.
To make things simpler, you can use an online mortgage payment calculator tool. You can calculate the mortgage for the purchase of a new home or calculate the renewal/refinance of an existing mortgage. This tool is free and super easy to use.
Mortgage rates vary depending on certain factors. These factors can include the chosen bank, mortgage type, and term.
66% of Canadian mortgages are financed on a
This means that the mortgage cannot be refinanced or renewed for 5 years. After the term is done, you can refinance your mortgage, alter conditions, and even go with a different mortgage lender.
The Canadian Mortgage and Housing Corporation (CMHC) is a group that helps make housing affordable for Canadians. They provide mortgage insurance for homes worth less than $1 million dollars.Most of the time, homebuyers need to provide a 20% down payment. First time home buyers only need to put 5% down. However, if you do not have 20% of your down payment, you will be charged monthly mortgage insurance from CMHC.
Saving money for your down payment takes some serious work and dedication. It’s a large purchase and takes a large amount of money.
We’ve got some other great money saving resources on our blog that can help you save some funds. Check them out now and see how much money you can save.