A home is one of the biggest purchases of your life and you have a lot of questions about the home buying process. The amount of information in the marketplace can seem overwhelming. Here are a few of the questions first-time buyers often ask us:
- Can I qualify for a mortgage and how much can I borrow? See Mortgage Qualifier
- Where can I get the best mortgage rates?
- What mortgage term is right for me?
- What other costs should I expect?
- Can I use my RRSP funds for a down payment?
- Can I qualify for the BC Government Home Partnership Loan Program?
- What do I need to know about payment options, mortgage portability and other conditions.
Property Transfer Tax Exemptions
As a first time home buyer in BC, there are opportunities available only to you that are unavailable to repeat purchasers. The Province of BC offers Property Purchase Tax exemptions for first time buyers of qualifying properties. BC Property Transfer Tax Exemption Details.
BC Home Partnership Program
In addition to Property Purchase Tax exemptions and RRSP Withdrawal programs (below), first time buyers in BC may also qualify for the BC government's Home Partnership Program. The BC HOME Partnership Loan contributes to your personal down payment, up to a maximum of five per cent of the purchase price. For more information on the program, contact us today or go to the BC Home Partnership Loan Program site.
The Canadian Government also encourages home ownership through a RRSP withdrawal program to help first-time buyers access down payment funds. Canada RRSP Home Buyers Plan Details.
What is a High-Ratio Mortgage
Whenever the down payment is lower than 20%, lenders are required to insure the mortgage against default. This default insurance is typically provided by by CMHC or Genworth Financial Canada. The insurance premium is a one time amount charged to the borrower and is normally added into the mortgage payment. Because the risk to the lender increases as the down payment gets smaller, the insurance percentage gets larger accordingly.
Our sub-mortgage brokers can guide you through the available programs that best suit your needs. To find a sub-mortgage broker, click Our Sub-Mortgage Brokers or Contact Us for more information.
I can guide you through the available programs that best suit your needs. Contact me for more information.
See our mortgage FAQs for more details on what to expect from the time you come to me for Mortgage Pre-Approval to the time you take possession of your new home.