FAQs
Mortgage Basics
A mortgage is a loan used to purchase a home or property. You borrow money from a lender, and in return, the property serves as collateral. You repay the loan with interest over a specified period, usually 15, 20, or 30 years.
Your affordability depends on your income, credit score, existing debt, and down payment. We offer mortgage calculators to help estimate what you can comfortably afford.
Mortgage Process
Typically, you’ll need proof of income, employment records, credit history, bank statements, and identification. We’ll guide you through gathering all required documents for a seamless application process.
The mortgage process typically takes 2-4 weeks, depending on the complexity of your application and how quickly documents are provided.
Yes, options exist for individuals with lower credit scores. Amarpreet Bhui can help you find lenders offering solutions tailored to your credit profile.
Mortgage Rates & Terms
A fixed-rate mortgage has a stable interest rate, meaning your payments remain the same. Variable-rate mortgages fluctuate with market interest rates, which can result in higher or lower payments over time.
The ideal term varies based on your financial goals and stability. Shorter terms generally have lower interest rates, while longer terms offer stable payments. Amarpreet can help you evaluate which term best fits your needs.
Mortgage Renewal & Refinancing
Mortgage renewal occurs at the end of your current mortgage term. It’s a chance to renegotiate terms and rates. Renewing early can lock in lower rates, potentially reducing your monthly payments.
Refinancing replaces your current mortgage with a new one, often at a lower interest rate. It’s an effective way to access your home equity, consolidate debt, or lower payments.
Down Payment & Closing Costs
In Canada, a minimum down payment of 5% is required for properties under $500,000. Properties above this amount may require a larger down payment. A higher down payment can help lower your monthly payments and interest.
Closing costs include fees for legal, inspection, insurance, and registration services. These typically range between 1.5% and 4% of the property purchase price.
Investment & Insurance
Home equity can be accessed through refinancing or a home equity line of credit (HELOC) to fund other investments. Amarpreet can guide you on how to strategically leverage this option.
Mortgage insurance is mandatory for down payments under 20% and can protect you and your family. We can help you determine the type and amount of insurance suitable for your circumstances.
Mortgage pre-approval lets you know your borrowing limit and interest rate in advance, giving you an advantage in a competitive market.
Simply contact us, and Amarpreet will guide you through the steps, from pre-approval to closing, ensuring a smooth experience.