Stop Paying Your
Landlord’s Mortgage! Own Your Own Home!
The
thousands of dollars in rent you’ve paid to your landlord may be a staggering
figure—a figure you don’t even want to think about.
Until now, buying a house hasn’t seemed
possible; it didn’t seem to be in the financial cards for your foreseeable
future. Or is it?
This situation is common: countless people feel trapped their home
rental, pouring thousands of dollars into a place that will never be their
own—they think they’re unable to produce a down payment for a home in order to
escape the rental dilemma. However,
putting the buying process into motion isn’t as impossible as it may seem.
No matter how difficult you believe your
financial situation to be, there are a few key facts that can help you make the
step from the renter’s rut, to your own home-owning paradise!
Initially, of course, the most daunting
factor involved in buying a house is the down payment.
You know you’ll be able to handle the monthly
payments—you’ve done this, and possibly more, for years as a renter. The hurdle, instead, seems to be accumulating
the capital needed to put money down.
Here’s the good news - this hurdle may be smaller than you think. Take a look at the following points and
explore whether any of these scenarios may be possible for you:
1. Find a mortgage broker to assist you with your options
for accessing different lenders.
Mortgage
brokers have access to more than just one lender, usually they deal with over
40. Some of those lenders will work with clients to get them into a house with
various options available for down payment and closing costs.
2. Buy a home even if your credit isn’t top-notch.
If
you have saved more than the minimum for a down payment, or can secure the loan
against other equity, many lending institutions will still consider you for a
mortgage, despite a poor credit rating. And working with a mortgage broker we
only obtain one credit bureau to save you rating from multiple inquiries.
3. Find a seller to assist you in buying and financing the home.
Some
sellers may be willing to bear a second mortgage as a seller take-back. The seller then assumes the role of the
lending institution, and you pay him/her the monthly payments, rather than
paying the price of the home in a lump sum.
This is an additional option if you have a poor credit rating.
4. Federal Government First Time Home Buyers Plan (HBP).
Canada
Revenue Agency now allows first time home buyers to withdraw up to $25,000 from
your RRSP contributions to put towards your home purchase. There are specific
guidelines for this program which can be found at cra-arc.gc.ca.
5. Create a cash down payment without going into debt.
You may borrow the down payment from a
loan or a line of credit. As long as you can service the repayment amount this
is a viable option. You may also be
gifted your down payment from a family member as long as it is genuinely a gift
and it is in your account 15 days prior to the closing date. You may also have
a co-signer on the application to increase the strength of your application for
approval.
You
now know, there are options.
The next
step is to educate yourself on what your own personal possibilities might be
and how to follow through with this goal.
You should be per-approved for your mortgage before searching for a
home. The process is free and doesn’t place you under any obligation. Its simple, you can be per-approved over the
phone!
Once a credit application is
submitted, you’ll receive a written per-approval, which will guarantee you to a
specific dollar range or mortgage amount. When you have the per-approved
mortgage amount, you’ll know the price range to look in.
Make a commitment to
break out of the renting rut. Start
today!
