19 May

Beginner’s Guide to Residential Mortgages in Edmonton

General

Posted by: Karen Lagore

If you are looking to purchase a home in Edmonton, you may be in need of a residential mortgage. A residential mortgage is a loan that is used to purchase a residential property, such as a house or condominium. If you are looking to secure a residential mortgage in Edmonton, there are a few steps you can take to increase your chances of approval.

  1. Check Your Credit Score Before you apply for a residential mortgage in Edmonton, it is important to check your credit score. Your credit score is a number that reflects your creditworthiness and helps lenders determine whether or not to approve your loan application. A good credit score can improve your chances of getting approved for a residential mortgage with favorable terms and interest rates.
  2. Provide Proof of Income and Employment Lenders want to ensure that you have a stable source of income to repay your loan. To get approved for a residential mortgage in Edmonton, you will need to provide proof of your income and employment. This can include pay stubs, tax returns, and employment verification letters.
  3. Save for a Down Payment A down payment is a portion of the purchase price that you pay upfront when you buy a home. Most lenders require a down payment of at least 5% of the purchase price. Saving for a larger down payment can improve your chances of getting approved for a residential mortgage in Edmonton, as it shows that you are committed to the purchase and have some financial stability.
  4. Reduce Your Debt-to-Income Ratio Your debt-to-income ratio is the amount of debt you have compared to your income. Lenders use this ratio to determine your ability to repay your loan. To increase your chances of getting approved for a residential mortgage in Edmonton, it is important to reduce your debt-to-income ratio. This can be done by paying off outstanding debts, such as credit card balances, and avoiding new debts.
  5. Work with a Mortgage Broker Working with a mortgage broker can help you find the best residential mortgage in Edmonton for your needs. Mortgage brokers have access to multiple lenders and can help you compare rates and terms. They can also help you with the application process and ensure that you meet all the necessary requirements.

In conclusion, getting approved for a residential mortgage in Edmonton requires some preparation and effort. Checking your credit score, providing proof of income and employment, saving for a down payment, reducing your debt-to-income ratio, and working with a mortgage broker can all increase your chances of approval. By following these steps, you can find the best residential mortgage in Edmonton for your needs and achieve your dream of homeownership.

 

6 May

4 Reasons Why It’s Best To Work With a Mortgage Broker in Edmonton

General

Posted by: Karen Lagore

Looking to relocate to Edmonton? As an experienced mortgage professional, I understand that you have a lot of questions running in your head right now. In this article, we’ll discuss Edmonton mortgage brokers, their role in the mortgage industry, and how to choose the right broker for your needs.

edmonton-mortgage-broker

What is an Edmonton Mortgage Broker?

Edmonton mortgage brokers are licensed professionals who act as intermediaries between borrowers and lenders. They have access to a wide range of mortgage products and lenders and help borrowers find the best mortgage rates and terms for their unique financial situations.

Why Work with an Edmonton Mortgage Broker?

Working with an Edmonton mortgage broker can offer several benefits, including:

  1. Access to a Wide Range of Lenders: Edmonton mortgage brokers have access to a large network of lenders and can help borrowers find the best rates and terms for their specific needs.
  2. Time Savings: Mortgage brokers can save borrowers time by doing the research and paperwork required to apply for a mortgage.
  3. Expert Advice: Mortgage brokers are experts in the mortgage industry and can provide valuable advice and guidance throughout the mortgage application process.
  4. Competitive Rates: Edmonton mortgage brokers can often negotiate lower interest rates and better terms on behalf of their clients, which can result in significant savings over the life of a mortgage.

How to Choose an Edmonton Mortgage Broker?

When choosing an Edmonton mortgage broker, it’s important to consider several factors, including:

  1. Experience: Look for a mortgage broker with several years of experience in the industry. Experienced brokers can provide valuable insights and advice throughout the mortgage application process.
  2. Reputation: Check online reviews and ratings to ensure the broker has a good reputation in the industry.
  3. Accessibility: Choose a broker who is accessible and responsive to your needs. You want to work with someone who is available to answer your questions and provide updates throughout the process.
  4. Fees: Be sure to understand the broker’s fees upfront and compare them to other brokers in the industry.

Choosing the right Edmonton mortgage broker can make all the difference when it comes to securing a mortgage that meets your needs and financial goals. Contact us today and let us help you with your home search journey.

Sources:

17 May

Stressed about your finances?

Mortgage Information

Posted by: Karen Lagore


Violet has been living in the quaint farm house she grew up in most of her life. She recently helped her children through some financial difficulty and eventually found herself facing a similar challenge.

After focusing her financial resources on helping her family while maintaining her aging home and lifestyle, Violet’s bills began to pile up. Although her son returned the favour and paid her property taxes. She still had some outstanding debt that needed to be addressed.

Violet wanted to access some money to renovate her kitchen and bathroom, eliminate her debt, and have a little extra income. To help her obtain her financial goals Violet’s mortgage broker suggested a CHIP Reverse Mortgage through HomEquity Bank. She was able to pay off her debt, have enough funds to renovate her home, and give her monthly income a boost.

Today, Violet enjoys the home she’s spent most of her life in and lives a comfortable lifestyle without worrying about her finances. If you would like to learn how a CHIP Reverse Mortgage can be an effective tool in your retirement plan, I’d be happy to help!

Please contact me at 587-274-3349 Karen Lagore, email:  karen.lagore@dominionlending.ca

16 May

Major Life Changes

Mortgage Information

Posted by: Karen Lagore

Major life changes can happen at any time. For Mary, 67, her divorce after 40 years of marriage presented some challenges. A priority for Mary was that her home was comfortable and well-maintained.

Mary used her home equity to finance maintenance and improvements to her home. She accessed about 40% of the equity in her home with a CHIP Reverse Mortgage. Taken as a lump sum, the money financed the construction of a new deck and garage. A hot tub purchase is also planned in the near future.

Mary also used some of the money for cash flow.

It is easy to adjust to retirement knowing that my future was financially secure.

12 Apr

Frequently Asked Questions About Reverse Mortgages

Mortgage Information

Posted by: Karen Lagore

Reverse Mortgage Logo

Reverse Mortgage Logo

Got questions about mortgages? Here are frequently asked questions.

 How does a CHIP Reverse Mortgage work?

A CHIP Reverse Mortgage is secured by the equity in your home. Unlike a traditional mortgage in which you make regular payments to someone else, a reverse mortgage pays you.

The big advantage with the CHIP Reverse Mortgage is that you do not have to make any regular mortgage payments for as long as you or your spouse lives in your home. That’s what has made reverse mortgages such a popular solution in Canada, the U.K., the U.S., Australia and other countries.

 Who is it for?

The CHIP Reverse Mortgage is designed exclusively for homeowners age 55 and older. This age qualification applies to both you and your spouse.

How much can I get and how is it calculated?

You can receive up to 55% of the value of your home. The specific amount is based on your age and that of your spouse, the location and type of home you have, and your home’s current appraised value. You can contact me and I can quickly give you an estimate of how much you may be approved for.

How do I receive the money?

You can choose how you want to receive the money. The CHIP Reverse Mortgage gives you the option of receiving all the money you’re eligible for in one lump sum advance, or you can take some now and more later, or you can receive planned advances over a set period of time. Planned advances are available on the Income Advantage product.

 Will the homeowner owe more than the house is worth?

The homeowner keeps all the equity remaining in the home. In our many years of experience, over 99% of homeowners have money left over when their loan is repaid. The equity remaining depends on the amount borrowed, the value of the home, and the amount of time that’s passed since the reverse mortgage was taken out.

Will the bank own the home?

No. The homeowner retains title and maintains ownership of the home. It’s required for the homeowner to live in the home, pay taxes on time, have property insurance, and maintain the property in good condition.

What if the homeowner has an existing mortgage?

Many of our clients use a reverse mortgage to pay off their existing mortgage and debts.

Should reverse mortgages only be considered as a loan of last resort?

No. Many financial professionals recommend a reverse mortgage to supplement monthly income instead of selling and downsizing, or taking out a conventional mortgage or a line of credit.

What fees are associated with a reverse mortgage?

There are one time fees to arrange a reverse mortgage such as an appraisal fee, fee for independent legal advice as well as our fee for administration, title insurance, and registration. With the exception of the appraisal fee, these fees are paid for with the funding dollars.

 What if the homeowner can’t afford payments?

There are no monthly payments required as long as the homeowner is living in the home.

Contact me today if you have any questions or if you’d like to see how much you can get!

Karen Lagore , Certified Reverse Mortgage Specialist                                                                               Ph: 587-274-3349                                                                                                                  Email: karen.lagore@dominionlending.ca

12 Apr

Benefits of a Reverse Mortgage

Mortgage Information

Posted by: Karen Lagore

You receive the money tax-free. It is not added to your taxable income so it doesn’t affect Old Age Security (OAS) or Guaranteed Income Supplement (GIS) government benefits you may receive.

 You can use the money any way you wish. Maybe you want to enjoy your retirement or cover unexpected expenses. Perhaps you want to update your home or help your family without depleting your current savings. The only condition is that any outstanding loans (e.g. existing mortgage or home equity line of credit) secured by your home must be paid out with the proceeds from your CHIP Reverse Mortgage.

 No regular mortgage payments are required while you or your spouse live in your home. The full amount only becomes due when you and your spouse no longer live in the home

 You maintain ownership and control of your home. You will never be asked to move or sell to repay your CHIP Reverse Mortgage. All that’s required is that you maintain your property and stay up-to-date with property taxes, fire insurance and condominium or maintenance fees while you live there.

 You keep all the equity remaining in your home. In many years of experience, 99 out of 100 homeowners have money left over when their CHIP Reverse Mortgage is repaid. And on average, the amount left over is 50% of the value of the home when it is sold.