Mortgage & Down Payments

Finding Financial Advice

Probably the largest decision you will make in your lifetime is purchasing a home.

To help in this process, I can recommend bankers or mortgage brokers that can provide you with financial advice and answer any questions you may have in reference to mortgages, pre-approvals and down payments.


This is the most import first step before you begin to search for a property for 2 main reasons:

  • A pre-approval helps determine how much of a mortgage you can afford.
  • A pre-approval also protects the possibility of any rate increases by locking in your rate for up to 120 days.

The main factors lenders consider when qualifying you for a mortgage are:

  • Income
  • Debt
  • Employment History
  • Credit History
  • Value of property

Documentation Tips for Pre-Approval

  • Details of employment and proof of income
  • Provide other sources of income such as pension or rental income
  • Current banking information
  • Verification of your down payment (bank statements for last 3 months and investment statements
  • Provide consent for a credit check
  • Provide a list of assets including property and vehicles
  • Provide a list of liability balances such as credit cards, loans

Down Payments

In this day and age, there are many options for a down payment.  Some include:

  • Your own savings
  • Investments
  • Sale of a property
  • A gift from a family member

The minimum down payment required for a first time home buyer is 5% of the purchase price.  A mortgage with a down payment less than 20% of the purchase price is considered a high ratio mortgage and is required to be insured either by CMHC or Genworth Financial.  The larger the down payment the less insurance fees you will be required to pay.