Check it out!!
This baby will take your purchase price - help you identify your down payment amount - AND, it will even calculate your potential Mortgage Insurance Fee.
What's Mortgage Insurance?? Click on the link or right <Here> to find out! You probably need it - but maybe not. Doesn't hurt to know about it though.
And hey...if you want to see a more detailed picture with the FULL Amortization...click <HERE>!
As of October 17, 2016 all Insured Mortgages must Qualify at the Canadian Benchmark.
As of February 15, 2016 - Down Payment rules have changed for purchases over $500,000.00.
Regarding purchases over $500,000.00, the new rules require a minimum Down Payment of 5% on the first $500,000.00 and then 10% on the Balance.
For example - if you purchase a home for $600,000.00 - you would have to put down $25,000.00 for the first $500,000.00 and then an additional $10,000.00 for the extra $100,000.00 you are borrowing...this equates to $35,000.00.
Under the old rules of a straight 5% Down Payment requirement - the total Down Payment required would have been $30,000.00 - so this new requirement is going to sting a few.
Don't worry about trying to do the math on your own...our calculator will be able to do it for you!
With respect to the Canadian Benchmark criteria - this does not mean your rate will be set at the Benchmark rate, rather your affordability must be calculated against it rather than the actual rate you will pay.
This effort has been put forward to help cool the Red Hot Canadian Housing Market. You can write your Thank You letters to our Minister of Finance and our Prime Minister.
*For Purchases over $500,000.00 the Minimum Down Payment is 5% of First $500,000.00 and 10% of the balance up to a total of $999,999.99. Purchases over $1Million require 20% Down Payment. Although a Down Payment of 20% or Greater does not normally require your mortgage to be insured, thus avoiding Mortgage Insurance fees, other factors may emerge that require your mortgage to be insured at the lenders discretion. This means you may incur Mortgage Insurance costs despite the size of your down payment. Speak to your broker to see if this applies to your specific situation. It’s rare, but we would rather let you know it’s a possibility than surprise you with it later if it applies to you!