Understanding Construction Financing Mortgages in Canada: A Comprehensive Guide

Understanding Construction Financing Mortgages in Canada: A Comprehensive Guide

Construction financing mortgages are an essential tool for homeowners and investors looking to build new homes or renovate existing ones. In Canada, construction financing mortgages are becoming increasingly popular, allowing individuals to build their dream homes or develop real estate projects. In this blog, we will provide a comprehensive guide to construction financing mortgages in Canada, covering everything from eligibility criteria to the application process. 

1.What is a Construction Financing Mortgage?  

  • A construction financing mortgage is a type of mortgage that provides financing for the construction or renovation of a property. This type of mortgage is typically used by individuals or investors who are building a new home or developing a real estate project. 

2.Eligibility Criteria 

  • Credit Score: Applicants for construction financing mortgages must have a good credit score to qualify for the mortgage.  
  • Income: Lenders will assess the income and employment status of applicants to ensure they have the financial capacity to repay the loan.  
  • Down Payment: Applicants must be able to provide a significant down payment, typically ranging from 20-25% of the total project cost.  
  • Property Appraisal: Lenders will require a property appraisal to ensure the value of the property being built or renovated is adequate to secure the loan. 

3.Benefits  

  • Customization: Construction financing mortgages allow homeowners to build their dream homes or investors to develop real estate projects according to their specifications.  
  • Competitive Interest Rates: Construction financing mortgages typically have competitive interest rates, making them an attractive option for borrowers.  
  • Control: With construction financing mortgages, borrowers have greater control over the project and can ensure that it is built according to their standards and vision. 

4.How to Apply for a Construction Financing Mortgage 

  • Determine Project Budget: Before applying for a construction financing mortgage, it’s important to determine the total project cost and budget accordingly.  
  • Find a Lender: Research and compare lenders offering construction financing mortgages to find the best terms and rates for your circumstances.  
  • Gather Required Documents: To apply for a construction financing mortgage, you will need to provide proof of income, employment status, down payment, and property appraisal.  
  • Get Pre-Approved: Pre-approval for a construction financing mortgage can give you a better idea of how much you can afford and what your interest rate and monthly payments will be. 
  • Finalize the Application: Once you’ve found a suitable lender and property, you can finalize your construction financing mortgage application with the lender. 

5.Tips for Success 

  • Plan Ahead: Careful planning and budgeting can help ensure the success of your construction project and reduce the risk of cost overruns or delays.  
  • Work with Professionals: Seek the guidance of professionals such as architects, builders, and lawyers to ensure that your project is built to code and meets all legal requirements. 
  • Communicate with Your Lender: Keep your lender informed of any changes or issues that may arise during the construction process to avoid any misunderstandings or delays. 
  • Monitor Progress: Regularly monitor the progress of your construction project to ensure it is being built to your specifications and within budget. 

Contact Capital Mortgages today to learn more about refinancing and how we can help you save money on your mortgage. Our team of experienced mortgage professionals is here to help you navigate the process and to find the mortgage solution that best meets your needs. Whether you are looking to lower your monthly payments, pay off your mortgage faster, or access equity in your home, we can help you explore your options and find the best mortgage solution for your unique situation. So, if you are thinking about refinancing your mortgage in Canada, don’t hesitate to contact us today! 

We here at Capital Mortgages in Ottawa look forward to assisting you with all your Ottawa mortgage needs. Contact us today by calling us at: 613-228-3888 or email us direct at: info@capitalmortgages.com

You can use these links to APPLY NOW or CONTACT US.

You can also click here.

The Pros and Cons of Refinancing Your Mortgage

The Pros and Cons of Refinancing Your Mortgage

Refinancing your mortgage can be a great way to save money on your monthly payments, pay off your mortgage faster, or access equity in your home. However, refinancing is not always the right choice for every borrower, and it’s important to carefully consider the pros and cons of refinancing before making a decision. 

Pros of Refinancing Your Mortgage

Here are some of the pros of refinancing your mortgage: 

1.Lower interest rate

One of the biggest advantages of refinancing your mortgage is the potential to lower your interest rate. By securing a lower interest rate, you can save money on your monthly mortgage payments and pay off your mortgage faster. A lower interest rate can also result in significant savings over the life of your mortgage. 

2.Shorter mortgage term

Another advantage of refinancing is the ability to switch to a shorter mortgage term. By opting for a shorter mortgage term, you can pay off your mortgage faster and save money on interest charges. However, it’s important to keep in mind that a shorter mortgage term may also result in higher monthly payments. 

3.Access equity in your home

Refinancing can also allow you to access equity in your home. If your home has appreciated in value since you first took out your mortgage, you may be able to refinance for a higher loan amount and use the extra funds for home renovations, debt consolidation, or other expenses. 

4.Change mortgage type

Refinancing can also give you the opportunity to change the type of mortgage you have. For example, you may be able to switch from a variable-rate mortgage to a fixed-rate mortgage, or vice versa. It’s important to carefully consider the pros and cons of different mortgage types before making a decision. 

Cons Refinancing Your Mortgage

Now, let’s take a look at some of the cons of refinancing your mortgage: 

1.Closing costs

One of the biggest drawbacks of refinancing is the cost. Refinancing typically involves paying closing costs, such as legal fees and land transfer taxes, which can add up to thousands of dollars. It’s important to carefully consider whether the savings from refinancing will outweigh the costs of closing. 

2.Longer break-even point

Another disadvantage of refinancing is the longer break-even point. The break-even point is the point at which the savings from refinancing outweigh the costs of closing. It can take several years for the savings from refinancing to offset the costs, so it’s important to carefully consider whether you will be in your home long enough to benefit from the refinance. 

3.Prepayment penalty

Some mortgages come with a prepayment penalty, which means that you will have to pay a fee if you pay off your mortgage early. If you are considering refinancing, it’s important to check whether your mortgage has a prepayment penalty and to factor this into your decision. 

4.Impact on credit score

Refinancing can also have an impact on your credit score. Applying for a new mortgage involves a credit check, which can temporarily lower your credit score. It’s important to understand how refinancing will affect your credit score and to take steps to maintain a strong credit score. 

Is Refinancing Your Mortgage the Right Choice?

In order to determine whether refinancing is the right choice for you, it’s important to carefully consider your financial situation and long-term goals. Here are a few questions to consider when deciding whether to refinance your mortgage: 

1.How long do you plan to stay in your home?

If you don’t plan on staying in your home for a long period of time, refinancing may not be the best choice. It can take several years for the savings from refinancing to offset the closing costs, so it’s important to ensure that you will be in your home long enough to benefit from the refinance. 

2.How much will you save with a lower interest rate?

A lower interest rate is one of the biggest advantages of refinancing, but it’s important to carefully consider how much you will save with a lower rate. Calculate the difference between your current interest rate and the new rate you are considering, and determine whether the savings will be significant enough to justify the closing costs. 

3.What are the terms of your current mortgage?

Before you consider refinancing, it’s important to understand the terms of your current mortgage. This includes the interest rate, mortgage term, and any prepayment penalties or fees. Understanding the terms of your current mortgage will help you determine whether refinancing is a good financial decision. 

4.What are the fees and closing costs associated with refinancing?

Refinancing can be costly, with closing costs and other fees adding up to thousands of dollars. It’s important to understand the fees and closing costs associated with refinancing and to determine whether the savings from refinancing will outweigh the costs. 

5.Do you have the financial resources to refinance?

Refinancing can be a financial commitment, and it’s important to have the financial resources to cover the closing costs and any other fees associated with the refinance. Consider factors such as your income, debts, and monthly expenses when determining whether you have the financial resources to refinance. 

6.Do you have a solid credit score?

A good credit score is important when it comes to securing a lower interest rate on your mortgage. If you have a strong credit score, you may be more likely to qualify for a lower rate and to save money on your mortgage through refinancing. If you have a lower credit score, it may be more difficult to qualify for a lower rate, and refinancing may not be as financially beneficial. 

 Conclusion

In conclusion, refinancing your mortgage can be a great way to save money on your monthly payments, pay off your mortgage faster, or access equity in your home. However, it’s important to carefully consider the pros and cons of refinancing before making a decision. Some things to consider include your long-term plans for your home, the potential savings with a lower interest rate, the terms of your current mortgage, the fees and closing costs associated with refinancing, your financial resources, and your credit score. 

If you are considering refinancing, it’s a good idea to consult with a mortgage broker or financial advisor to discuss your options and to determine whether refinancing is the right choice for you. A mortgage broker can help you compare rates and terms from different lenders, and can assist you in finding the mortgage solution that best meets your needs. They can also provide you with expert advice and guidance to help you make informed decisions. 

Contact Us Today

Contact Capital Mortgages today to learn more about refinancing and how we can help you save money on your mortgage. Our team of experienced mortgage professionals is here to help you navigate the process and to find the mortgage solution that best meets your needs. Whether you are looking to lower your monthly payments, pay off your mortgage faster, or access equity in your home, we can help you explore your options and find the best mortgage solution for your unique situation. So, if you are thinking about refinancing your mortgage in Canada, don’t hesitate to contact us today! 

 

We here at Capital Mortgages in Ottawa look forward to assisting you with all your Ottawa mortgage needs. Contact us today by calling us at: 613-228-3888 or email us direct at: info@capitalmortgages.com

You can use these links to APPLY NOW or CONTACT US.

You can also click here.

shopping for a construction loan

Shopping for a Construction Loan? Here’s What You Need to Know

Shopping for a construction loan can be an overwhelming process, especially if you don’t know the ins and outs of the process. Construction loans are unique in that they are short-term loans used to finance the building of a home or other structure. As such, they have different criteria than traditional mortgages and require more of a financial commitment from the borrower. If you’re considering getting a construction loan, it’s important to understand the types of loans available, the requirements to qualify, and the repayment process. Knowing the answers to these questions can help you make an informed decision and secure the best loan for your needs. Here’s what you need to know when shopping for a construction loan.

Types of construction loans

There are three main types of construction loans: partial, draw, and full. A partial construction loan is a loan that is completely paid out during the construction period, while a draw construction loan is partially prepaid. A full construction loan, however, is a loan in which no portion of the principal is paid out. The type of construction loan you get will depend on a few things, including the size of the project, the amount of equity you have in the property, and the lender. When shopping for a construction loan, be sure to ask about the different types and determine which one is best for your financial situation.

Qualifying for a construction loan

Since construction loans are generally smaller loans that last for a shorter amount of time, the lender expects a higher risk than with a standard mortgage. As such, the criteria are more stringent, and you will likely need a larger down payment and more equity in the property than with a traditional mortgage. Generally, a construction loan is reserved for borrowers who: Have some equity in the property. This shows that they are financially secure enough to be able to finish the project and repay the loan as promised. Have the financial ability to complete the project. This means they have a reliable way to pay for the materials and labor needed to finish the job. Have the patience to endure a longer process. While traditional mortgages generally only take a few weeks to complete, construction loans often take longer. The average completion time is around four months, so be prepared for some extra waiting.

Construction loan repayment

Because construction loans are short-term loans, you will only have to pay interest on the amount borrowed during the construction period. This means you will likely have to make a larger down payment than with a traditional mortgage. Most construction loan repayment terms last from three months to one year, but you can sometimes negotiate a longer repayment period. Make sure you have a plan in place to pay off the loan as promised, however. Otherwise, you could end up hurting your credit score. If you have trouble making payments, speak with your lender immediately. They may be able to extend your repayment period or offer other options that make it easier to keep up with the loan.

Credit score and income requirements

Generally, a construction loan has a lower credit score and income requirement than a traditional mortgage. You may be able to get a construction loan with a credit score as low as 600 and a relatively low income. However, your ability to repay the loan will be greatly impacted by these lower requirements. In fact, many lenders may deny you a construction loan if your credit score is too low. Credit score and income requirements will vary by lender, so it’s important to talk with a few different ones to get a sense of what you can qualify for.

Closing costs and fees

Construction loans have a lot of fees because they are short-term loans, which are riskier for the lender. As such, you will likely pay fees for an appraisal, title search, and inspections. You may also have to pay for a contractor’s inspection to make sure your contractor is building according to code and with quality construction materials. Be sure to talk with your lender about closing costs, and negotiate if you have the ability to do so. These fees can be added to the loan to make it more profitable for the lender. They might also come in the form of a higher interest rate on the loan, which will make it even harder to pay off.

Applying for a construction loan

Before you apply for a construction loan, be sure you have a plan in place to pay off the loan. You can’t just apply for a construction loan and then decide what you are going to build. You need to know exactly how much you need and have a detailed plan on how to get it done. You’ll also need to have contractor bids and a construction timeline in place. This will help the lender determine how much they’ll lend you and for how long. You may also need to have financing for the materials and equipment needed for the construction project. Be sure to apply for a construction loan as soon as possible. The lender may require that you have financing in place before you break ground, so don’t put it off.

Differentiating between lenders

When shopping for a construction loan, compare the lenders’ terms and options to find the best one for your needs. There are many lenders available for construction loans, and each one has different terms and conditions. You can compare several construction loan lenders by looking at their rates, fees, and terms. It’s also important to consider the lender’s reputation, as you may want to work with someone you trust and respect. It’s also important to consider how the lender can help you. For example, you may want to work with a lender that can provide assistance with your contractor’s permit or inspections.

Working with a loan officer

During the process of applying for a construction loan, you may want to work with a loan officer. Loan officers are the people who work directly for a lender. They can help you determine what type of loan is best for your situation and walk you through the process of applying for one. They can also help you find a lender, compare rates, and negotiate a better deal with existing lenders. Loan officers work on commission, which means they get paid more when you get more. They also have access to a wider variety of lenders than you do as a borrower. This means they can get you better rates, terms, and deals than you’ll find on your own. Loan officers also know the ins and outs of construction loans, so they can help you navigate the process and get your loan approved. If a loan officer makes promises that seem too good to be true, it’s probably because they are. It’s best to work with someone who is straightforward and honest about the process and what you can expect.

Questions to ask the lender

Before you sign on the dotted line, make sure you understand the terms of the loan. This way, you can make an informed decision and know exactly what you’re getting into. Some suggestions for questions to ask the lender include: What is the total amount of the loan? What is the term of the loan? How much is the monthly payment? How much is the origination fee? Will you charge a prepayment penalty? What are the interest rates? Are there any other fees? What is the lender’s rating and reputation? These questions will give you a better idea of the loan terms, and they may help you identify the best lender for your needs.

We here at Capital Mortgages in Ottawa look forward to assisting you with all your Ottawa mortgage needs. Contact us today by calling us at: 613-228-3888 or email us direct at: info@capitalmortgages.com

You can use these links to APPLY NOW or CONTACT US.

You can also click here.

conventional mortgage

Understanding the Conventional Mortgage Down Payment: All You Need to Know

A home is likely one of the most expensive purchases you will make in your lifetime and understanding the process of financing it is essential. One of the key factors in the financing process is the down payment, which is the amount of money that you pay up front to the lender when you take out a conventional mortgage loan. The down payment is usually a percentage of the total loan amount and is an important factor in determining the interest rate of the loan. Knowing the basics of the conventional mortgage down payment can help you make an informed decision when it comes to financing your home. In this article, we’ll discuss everything you need to know about conventional mortgage down payments, including the requirements, benefits, and risks.

What is a conventional mortgage down payment?

The conventional mortgage down payment is the amount of money that you pay for a home upfront, before you take out a mortgage loan. This down payment amount is usually a percentage of the total loan amount and is one of the factors in determining the interest rate of the loan. The conventional mortgage down payment is the standard minimum amount that you must pay towards the purchase of a home when you finance it. The amount of the down payment varies from lender to lender, and is usually about 20% of the purchase price of the home. The type of loan that you take out determines the down payment amount. Now that you know what a conventional mortgage down payment is, let’s see what the requirements are.

Requirements for a conventional mortgage down payment

There is no standard requirement for a down payment amount when you take out a conventional mortgage loan. In fact, some mortgage lenders will let you make a down payment as little as 3% of the purchase price of your home. However, you do need to be aware of the minimum down payment requirements set by Fannie Mae and Freddie Mac, otherwise known as the conventional mortgage down payment requirements. Fannie Mae and Freddie Mac are government-sponsored enterprises (GSEs) that buy a majority of the mortgages in the United States. Therefore, most conventional mortgage lenders will require you to meet the down payment requirements set by Fannie Mae and Freddie Mac.

– Credit score: You will need at least a mid-score of at least 680 to be eligible for a conventional mortgage loan. But, if you want to make a conventional mortgage down payment of less than 10%, you will likely need a higher credit score of at least 700.

– Debt-to-income ratio: This is the percentage of your monthly debt payments compared to your income. Lenders usually require a down payment of less than 10% for a debt-to-income ratio of less than 36%.

– Loan type: Fannie Mae and Freddie Mac have different minimum down payment requirements for each type of mortgage loan.

Benefits of making a conventional mortgage down payment

There are many benefits associated with making a conventional mortgage down payment, especially when it comes to your interest rate. With a larger down payment, you are less likely to be approved for a loan, and, therefore, you get a lower interest rate. Additionally, you can use the equity in your home to borrow money. This is often achieved through a home equity line of credit (HELOC), which is basically a second mortgage. Finally, making a larger down payment will allow you to get a fixed-rate loan sooner, since fixed-rate loans have lower interest rates than adjustable-rate loans.

Risks associated with a conventional mortgage down payment

If you make a large conventional mortgage down payment, the risks associated with it are low. On the other hand, if you make a small conventional mortgage down payment, the risks are much greater. You may find yourself having to make a larger monthly payment or extending the length of your home loan due to the higher interest rate on your loan. This could have a negative impact on your finances and credit score. Additionally, if you decide to sell your home in the future, you may have to come up with additional money to pay off the remainder of your conventional mortgage loan.

Finally, if the real estate market hits a decline, you may want to sell your home before it loses value. In this situation, you will face the difficult task of trying to find a buyer who is willing to pay the mortgage loan amount with a small down payment.

How to calculate a conventional mortgage down payment

Let’s say you are buying a $200,000 home. The lender requires a 20% down payment for this purchase. You have decided to make a $40,000 down payment, which is the minimum amount required by the lender. The amount of your down payment is equal to the purchase price of the home minus the loan amount. In this scenario, you would have to make a $40,000 down payment. You can also use a mortgage calculator to calculate your conventional mortgage down payment.

Factors that influence the amount of your down payment

There are many factors that influence the amount of your down payment, such as your income, your debt-to-income ratio, the type of loan you take out, and your credit score. Generally, the more you make and the less debt you have, the larger your down payment can be. Furthermore, the type of loan you take out will also influence the amount of your down payment. Let’s examine the minimum down payment requirements for each type of loan.

– Conventional mortgage: The minimum down payment for a conventional mortgage is 5% for most lenders. However, 10% is the minimum down payment for jumbo loans. Jumbo loans are those loans that exceed $484,350 in most parts of the country.

– FHA mortgage: The minimum down payment for an FHA loan is 3.5% for the first-time homebuyer. Otherwise, the minimum down payment is 5%.

– VA mortgage: The minimum down payment for a VA loan is 0%. In other words, you don’t have to make a down payment.

Strategies for making a larger down payment

One of the best ways to make a larger conventional mortgage down payment is to save the money. However, you don’t have to save the entire amount. You can also use a home equity line of credit (HELOC) to make a larger down payment. One of the best ways to do this is to take advantage of your tax savings. – Open a tax-advantaged savings account: This is one of the best ways to save money. You can open an account such as a Roth IRA or a traditional IRA to make a payment towards your home. – Increase your monthly savings: If you can increase the amount you are saving towards your home, you will be able to make a larger down payment.

Tips for saving for a down payment

If you want to make a larger down payment, you will need to start saving money as soon as possible. You can use a savings account, a money market account, or a stocks account to save money towards your down payment. Make sure that the account is easily accessible and that you can get to the money quickly when the time comes.

– Pay off your high-interest debt: You should also work to pay off your high-interest debt before you start putting money towards your down payment. You can do this by increasing your monthly payments or engaging in some extra part-time work.

– Get help from family and friends: You have many people around you who can help you make a larger down payment, including your family and friends.

– Shop around for a lower interest rate: You should also shop around for a lower interest rate on your mortgage loan before you start putting money towards your down payment. This will help reduce the amount of money you need to save.

Advice for making the right down payment decision

If you are wondering how much money you need for a down payment, the first thing you should do is get pre-approved for a mortgage loan. A mortgage lender will help you estimate the amount of money you need for a down payment and the interest rate on your loan. When you know how much money you need for a down payment, you can start saving for it. If you don’t have the money to make a larger down payment, don’t worry. You can always make a smaller down payment and pay a higher monthly mortgage loan payment.

We here at Capital Mortgages in Ottawa look forward to assisting you with all your Ottawa mortgage needs. Contact us today by calling us at: 613-228-3888 or email us direct at: info@capitalmortgages.com

You can use these links to APPLY NOW or CONTACT US.

You can also click here.

firm mortgage

Unlock Your Dream Home: Benefits of Acquiring a Firm Mortgage Approval

Unless you’re independently wealthy, buying a home will likely be the largest financial transaction of your life. It’s not surprising, then, that most mortgage applicants feel anxious about meeting lender criteria and qualifying for financing. But with the right information and strategy, even individuals with average credit can secure firm mortgage approval. Reduced interest rates, waived fees, and other incentives are standard features of firm mortgages. While these advantages aren’t available with every lender, they can substantially reduce the cost of borrowing. Firm mortgage terms also tend to have shorter repayment periods and lower monthly payments than typical loans. As a result, firm mortgages are almost always cheaper over the long term compared to variable rate loans. Whether you’re currently renting or hoping to buy in the near future, learning more about firm mortgages could lead to an improved financial outlook for your future home purchase.

What is a Firm Mortgage?

A firm mortgage is a type of financing that offers a specific rate and term. Unlike an adjustable rate mortgage (ARM), the interest rate and monthly payment on a firm mortgage won’t fluctuate over time based on the fluctuations of an external index. A firm mortgage is often used as a term to describe a loan that has been approved based on a borrower’s financial strength, not necessarily a specific type of loan. In other words, a homeowner with a firm mortgage might have a 30-year fixed rate mortgage loan, a 15-year fixed rate mortgage loan, or maybe even an ARM.

Why Should You Care About a Firm Mortgage?

Fixed-rate mortgages tend to be more stable than adjustable rate mortgages (ARMs), making it easier to forecast future home loan payments. ARMs can have high upfront fees, long application timeframes, and unsure future interest rates that make them a less desirable option. In addition to the convenience of knowing your monthly payment will remain the same for the life of your loan, a firm mortgage could qualify you for lower interest rates and reduced closing costs. If you’re in the market for a home loan, it could be the easiest path to securing firm mortgage approval.

What Are the Requirements?

Lenders may vary, but all reputable firms will conduct a credit check and review your current debt-to-income ratio (DTI). Your credit score may also be considered, but it’s not guaranteed that you’ll meet the minimum requirements for a firm mortgage. If your credit score and debt-to-income ratio are below average, you may still be able to secure approval by putting a down payment of at least 20 percent. Many lenders will also consider factors like your employment and length of residence in your area, so be sure to review your options carefully.

Strategies to Earn Approval

If your credit score is low or if you have high debt-to-income ratios, you may need to improve your financial standing before a mortgage lender will offer you a firm mortgage. Fortunately, there are a number of ways you can boost your credit standing and strengthen your application. Reduce Debt – The most obvious way to improve your debt-to-income ratio is to pay off as much debt as possible. Paying off high-interest credit cards and other unsecured debts will lower your debt-to-income ratio and improve your credit score. Getting a firm mortgage approval increases the likelihood that you’ll be approved for a higher loan amount, too. Increase Your Income – Another way to strengthen your application is to increase your income. If you’re working steadily, it’s possible to increase your income by applying for a promotion, getting a raise at your current job, or starting a side hustle.

Bottom Line

If you have average credit or have struggled to improve your credit score, you may be able to get approved for a firm mortgage. It is often a better choice anyway since it’s less risky than a variable rate mortgage. While it may take some time to improve your credit score, you can take steps now to improve your chances of getting approved for a firm mortgage. In most cases, lenders will also require a down payment of at least 20 percent to secure a firm mortgage.

We here at Capital Mortgages in Ottawa look forward to assisting you with all your Ottawa mortgage needs. Contact us today by calling us at: 613-228-3888 or email us direct at: info@capitalmortgages.com

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Downtown Ottawa Cafe, Restaurants and more

Ottawa Restaurants and Cafes

The Best Places to Eat in Ottawa, Ontario, Canada

Mortgage qualifying rules keep changing, interest rates are fluctuating, and you don’t know if you should put less down payment or more down payment or whether you should apply for a fixed or variable mortgage… Are you thoroughly confused? We can help.

The Best Places to Stop by and Get a Cuppa, Ottawa

There are a lot of coffee shops in Ottawa. Is there a coffee shop you go to every day? If so, we’ll let you in on some secret: the best place to get a cup of coffee in Ottawa is not always the place where you go every day.

According to July 2021 TripAdvisor ratings: Bridgehead, The Wild Oat and The Happy Goat Coffee Co.
These 3 café’s offer a little something for all you coffee lovers out there.

Ottawa Bars

To the victor go the spoils. In the annual battle to see who will be crowned Ottawa’s best dive bar, a squad of long-time competitors moved up to the next round. But the top dog is still King Clancy’s. It’s been serving drinks to Ottawa for over 35 years and is beloved by locals and visitors alike. Clancy’s, which serves up cheap beers and a completely unremarkable menu, is the pub of choice for many Ottawa newcomers because it’s where they met their future partners. Other finalists: Odd Fellows Lounge, Queen Street East The Coin, Bank Street and Lisgar All-American Bar, Slater Street Punch Bowl Social Ottawa, Lebreton Flats Brass Monkey, Rideau Street Plays Last month, Canadian Theatre Centre presented the world premiere of Sami Kingham’s Stop Kiss at the Bank Street Theatre.

Ottawa Nightlife

Ottawa pubs and restaurants can be found on the Rideau Canal, on the banks of the Ottawa River. It’s a great place to watch the sunset while you drink a craft beer. A large part of Ottawa’s downtown has been made into a pedestrian-only zone, in addition to having great restaurants and bars, the city has a very active nightlife scene. One of the Ottawa’s better known nightlife venues is Barrymore’s. It’s been called “one of Canada’s most beautiful restaurants, with a wonderful bar.” The main menu there is prepared by Chef Grant Lawrence. It’s a great place to get an Irish pub meal in the heart of downtown Ottawa. Best Restaurants in Ottawa You’ll find restaurants of all kinds in the city of Ottawa. Here are the restaurants on this list you should visit when you are in town.

Conclusion

It is pretty hard to know whether you should rent or buy a house, especially in an environment where there are all sorts of new economic factors that affect the markets. Have you been offered a condo or townhouse in Ottawa? If so, where do you live? What are your thoughts on the market? What about your story? Are you still waiting for your first place? Do you think we may see some more bargains in Ottawa real estate?

We here at Capital Mortgages look forward to assisting you with Ottawa mortgage needs. Contact us today by calling us at: 613-228-3888 or email us direct at: info@capitalmortgages.com

You can use these links to APPLY NOW or CONTACT US.

You can also click here.

Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

Five Questions You MUST Ask Your Mortgage Broker

As you navigate through the process of applying for a mortgage, you are going to encounter a multitude of steps, paperwork, and challenges along the way. Just when it seems like everything finally makes sense, boom – you come across a hidden charge, surprise component, or another tidbit of information that you had no idea would be involved in the process. To simplify things and gain a broader understanding of the journey you are about to embark on, here are five questions you should definitely be asking your mortgage broker.

 

What Types of Lenders are Available to You?

 

All lenders are not equal! Your mortgage broker will work with you to determine your overall financial situation before recommending a suitable lender based on your needs and constraints. They will do a great job of ensuring that you are opting for the least amount of risk and selecting a financial institution that’s right for you – which is probably not the same as it would be for your best friend or your neighbor. 

 

What Should I Keep In Mind For The Future?

 

In the immediate excitement of purchasing a home, many people can forget to consider what may be in store for the future. An amount you are able to afford today might not necessarily be the right choice for your future, given that you might soon become a parent or change jobs. Even if you are not planning to make any impending lifestyle changes, your mortgage broker will be able to explain rising interest rates to you and incorporate these variable future factors into their negotiations with your lender.

 

Which Interest Rate Do I Qualify For?

 

Your mortgage loan is one thing, but the interest on top of it is a completely different element to consider. The interest rate that you qualify for is dependent on your down payment amount, credit, and employment income. Ask your mortgage broker to explain which rate you qualify for, as this can impact you in two ways. For one, you will end up saving thousands of dollars in the long run if you qualify for a low-interest rate. However, if your rate is higher, your loan will be more expensive to pay back and could potentially become troublesome for you to manage financially. 

 

How Much Should My Down Payment Be?

 

Many people mistakenly assume that if they put a 20% down payment on their home, their mortgage’s interest rate will automatically be lower. However, this isn’t always the case. You can often put down as little as 5 percent and receive the same interest rate as you would if you put down 10, 15, 20 or even more. High ratio insured rates are currently lower than that of a 20% down payment. Your mortgage broker can shed more light on how much cash you should put down, which can be especially helpful if you are worried about cash flow throughout the purchase of your home and impending changes to your lifestyle.

 

Which Type Of Mortgage Should I Consider?

 

There are two types of mortgage interest rates: fixed and variable. Depending on your preferences and tolerance for risk, your broker will recommend that you either opt for a rate that doesn’t fluctuate or one that changes according to market trends. 

While these questions are simply just the tip of the iceberg when it comes to what you should be asking your mortgage broker, they’ll provide a solid foundation for getting started. Don’t forget to also factor in that there are several associated costs with applying for a mortgage – such as appraisals, credit reports, lender’s title policies, pest inspection reports, recording fees, taxes and more! Give Capital Mortgages a call today and we’d be happy to explain further.

Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

Meet the Founders of Capital

We believe that buying a home is one of life’s most memorable experiences. Everyone who works on the team at Capital Mortgages is here because we are passionate about helping people own their dream home! This week, we want to introduce you to the Partners at Capital Mortgages.

Stefan Krepski, Owner, Capital Mortgages

 

Stefan Krepski co-founded Capital Mortgages over 20 years ago! In January 1999, he and his partners united to provide strategic advice in arranging suitable mortgage financing for purchases, refinances, construction and switch mortgages. Today, they continue to help Ottawa residents with residential and commercial financing. Stefan’s stands by his motto: “We get you the right financing, from the right lender, at the right rate!” Stefan has a degree in History from Carleton University and lives with his family here in Ottawa.

 

Learn more about Stefan here: https://www.mortgageweb.ca/stefankrepski

 

 

Po Krepski, Owner, Capital Mortgages

 

Po co-founded Capital Mortgages after graduating from Carleton University with a Bachelors in Commerce and Finance. She works hard to make sure her clients get what they have come in for and is renowned in Ottawa for her incredibly strong work ethic, reliability, and honesty with clients. Po lives by her motto: “I save you money by sourcing the best products at the best rates – not only on your first mortgage but on every subsequent renewal”.

Learn more about Po here: https://www.mortgageweb.ca/pokrepski

 

 

Richard Morgan, Owner, Capital Mortgages

 

Richard Morgan has devoted 28 years to helping people from all walks of life with their mortgages. He co-founded Capital Mortgages with his partners over twenty years ago and has since represented thousands of clients surpassing billions of dollars in mortgages with a team of over fifty incredible mortgage agents in Ottawa. His motto is “to get our clients the Best Possible Mortgages that they qualify for through fast, professional and personal service”. Richard is a member of the IMBA, CIMBL, BBC and is a nationally recognized Accredited Mortgage Professional, the experts on call guest at CFRA and the recipient of the Chairman’s award in 2016 and 2017. He lives at home with his wife and two children, to whom he credits his success.

Learn more about Richard here: http://www.mortgageweb.ca/richardmorgan

 

Get to know our mortgage brokers more personally by scheduling an appointment with them to discuss your mortgage goals and learn how we can make them come true. Contact us now.

Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

What is a Purchase Plus Improvement Mortgage?

When you are preparing to purchase a new home, you will be introduced to plenty of new jargon related to your mortgage. Purchase Plus Improvement is one of the important ones – because understanding this term could end up saving you lots of money in the long run.  

Are you interested in purchasing a new home that requires renovations? Do you intend to do those renovations? Are these renovations capable of truly transforming the structure of your home (i.e. a new kitchen, bathroom, roof, flooring, windows or doors)? Do you need access to funds to complete those renovations right now? If you answered yes to any of these questions, then perhaps a Purchase Plus Improvement Mortgage is for you.  

 

How it Works: 

If you are certain that you will be fronting the bill for some home renovations in the new home you are purchasing, you can actually roll all of those dreaded renovation costs directly into your mortgage. The CMHC Purchase Plus Improvement Mortgage enables buyers to borrow as much as 10% of the estimated value of their home, post-renovation. If you believe you can renovate and improve the value of your home by $30,000, then you will be considered for a mortgage approval that tacks that amount onto your initial pre-approved mortgage amount. That means that all of those expenses are held and managed in one place.  

  • First off, you must outline what renovations are required and the estimated cost of these renovations. 
  • Next, you submit your mortgage application on the house as it currently is, and receive a pre-approval from your mortgage broker.  
  • Now is the hard work – you have to go and get specific quotes (with the exact renovation work that will be done).  
  • Present these quotes to your mortgage broker and your mortgage will be reassessed to include the cost of the quoted renovations. 
  • Now you have your new home and renovations can get underway immediately by a professional contractor or, yourself (but only material costs, not your labour, would be covered)! Do not go over the allotted maximum amount you were approved for. 
  • To confirm the completion of the renovations, a bank representative / appraiser will visit your home and cross reference the work with your initial documents.  
  • Your renovation funds will be released. 

 

Example:

Here is a real-life example of a purchase plus improvement mortgage situation after a 5% down payment is paid (which includes the renovation cost):
  

Home Purchase Cost: $350,000 

Cost of Renovations: $35,000 

Revised Purchase Price: $385,000 

Mortgage Amount: $365,750  

CMHC: $13,167 

Total Mortgage Amount: $378,917 
  

It is without a doubt that this Purchase Plus improvement Mortgage is the most effective and affordable way to finance big home renovations. If you are interested in learning more about this mortgage option, contact our team at Capital Mortgages today for more information. 

 

Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

How to Become Mortgage-Free Faster

If you have recently bought your first home — congratulations! It is a milestone worth celebrating and one that may have been a number of years in the making while you saved up your down payment and searched for the perfect place. Now that you are settled in your home, your mind may have wandered back to your finances and the monthly mortgage payments that you have committed to. Looking to become mortgage-free faster? There are benefits to paying off your mortgage off quicker, with the main one being that you will pay less interest in the long run. Take a look at our expert tips below:

 

Accelerate your payments

You are currently likely making monthly mortgage payments. However, if you switch to a bi-weekly schedule, you could pay down your mortgage faster while incurring less interest and also shortening your amortization period. With monthly payments, you are making 12 payments per year. On an accelerated bi-weekly payment schedule you would be making the equivalent of 13 full-size payments per year. This may not seem like a lot but it will certainly help you to pay off your loan earlier.

 

Increase your payments

Once you have been living in your home for a while and have a good handle on your monthly finances, you may find that you have some additional cash per month that you would like to contribute to your mortgage. Increasing your regular payments, even by $50 a month, will help you pay down your mortgage that much quicker. Make sure to discuss this option with your mortgage broker. Your mortgage may have restrictions on when you can make changes and how much you can raise your payments by.

 

Make additional payments

Though your mortgage payments are often fixed, you may be able to make additional payments towards your principal. For instance, when you come into larger sums of money, such as a work bonus or inheritance. This would depend on the nature of your mortgage and the prepayment privileges. By making additional lump-sum payments to your mortgage, you will be able to pay it down quicker and shorten the amortization period.

 

Shorten your amortization schedule

The amortization schedule of your mortgage is the time frame in which you have to pay the entire amount of the financing based on a set of fixed payments. Often the amortization period is set at 25 years, but shorter schedules are available depending on qualifications and your desire to do so. A shorter period means that your payments would be higher over that term, but your interest will be less.

 

The most important thing to remember is not to overstretch yourself financially, and to only commit to payments that you are able to make. Talk to your Capital Mortgages broker or agent to discuss your current financial situation and your future financial plans, to determine what is best for you long term and how you might be able to become mortgage free-faster.

 

Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

5 First-Time Homebuyer Mistakes and How to Avoid Them

Congratulations! You’ve decided to take the plunge into homeownership and purchase your first home. Now, you have all the excitement of house-hunting and finding your perfect home to look forward to! However, there are some bumps you may encounter along the way if you aren’t properly prepared for them. To help you, here are 5 first-time homebuyer mistakes and how to avoid them:

 

Not doing your homework

Purchasing your first home is a huge step and not one to be made in a hurry. Make sure that you do your homework by researching different neighbourhoods and considering which are most suited to your needs now, as well as 5 or 10 years in the future. Things to consider include walkability, green space, nearby schools, and whether or not the city has any upcoming plans for development.

 

Maxing out your budget

It can be easy to get swept up into the excitement of house-hunting and to start looking at homes that are in the top-end, or even above, your budget. One of the best things you can do before you begin to look at homes is to obtain mortgage pre-approval. With mortgage pre-approval, not only will you demonstrate to sellers that you are a committed buyer, but you will know exactly how much you can afford and what your monthly mortgage payments will be.

 

Not taking other costs into account

There are more costs to take into consideration than simply your monthly mortgage payments. By purchasing a home you are also committing to pay utilities, insurance, maintenance, possible condo fees and property tax. A good way to gain an accurate idea of what costs you can expect is to ask your realtor. You should also factor closing costs, such as legal fees, property tax adjustments and the land transfer tax, into your final numbers.

 

Skipping the home inspection

A home inspection is vital in ensuring you know exactly what you’re getting in terms of the current state of your home. A professional home inspector will look carefully at your home’s foundations, windows and roof, and will tell you if there is any water damage, mould, or structural issues that you need to address. If possible, include a home inspection as part of your conditional offer.

 

Making assumptions

You think the previous owners are leaving behind their appliances, only to arrive on move in day to find they have taken them with them and you are now left to replace a costly washing machine and dryer. If you think the previous owners may leave items behind, or if you have even discussed this with them — make sure to get it in writing. Items such as window treatments, lighting fixtures, and appliances are most often left behind but just make sure you clarify first exactly what you’re getting without making an assumptions.

 

Feeling overwhelmed? Let our team guide you through the homebuying process with ease. Capital Mortgages offers step-by-step personal assistance from knowledgeable mortgage brokers and an easy online application process. We’ll be by your side each step of the way, from helping you understand your options and what to expect, to mortgage pre-approval, and all the way through finalizing your mortgage and the purchase of your home.

 

Ready to talk? We’d love to help!

Reach out to us by phone at 613-228-3888 or by email at info@capitalmortgages.com

 

If you found this information useful, make sure to like and follow us on Facebook, LinkedIn, Twitter and Instagram! We are constantly posting valuable home tips, pertinent news articles, and reliable mortgage advice to better educate and inform our clients.

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

Making the Most of Your Mortgage Broker

Your relationship with your mortgage broker does not just cover the purchasing of your first home. If you have a good relationship with your mortgage broker, it should exist for the entirety of your adult home-buying life. Purchasing a home can be an overwhelming and confusing experience, and your mortgage broker can be one of your greatest allies in this process. Most mortgages will be up for renewal two or three times during their total term, so there will be plenty of opportunities for you to touch base with your mortgage broker, look at the best current interest rates, and reassess your current financial situation. Here are some ways in which you can make the most of your mortgage broker by forming a strong trustworthy business relationship with them:

 

Be honest

Your mortgage broker can only help you secure the best mortgage for your specific needs if you are completely honest with them about your financial situation. Make sure that you provide your mortgage broker with all of the facts at the very first meeting, otherwise it will just be time wasted further down the road when it all comes out during your application.

 

Keep them updated

Over time, your life goals and plans can change. It is worth keeping your mortgage broker updated of any change in your long-term plans, such as your plans to move to a different city, buy an investment property, or downsize. By knowing this information, your mortgage broker will be able to make the best and most accurate suggestions to achieve your short- and long-term financial goals.

 

Referrals

If you’re happy with your mortgage broker, the best way to show them your appreciation is to refer them to a friend or family member! You can feel confident that your friend or family member is getting the best mortgage advice and be happy in the fact that you helped your mortgage broker gain a new longtime client.

 

Having a good relationship with your mortgage broker will only benefit you in the long-term. At Capital Mortgages, our goal is to be your personal mortgage broker for life. We offer as many in-person meetings, phone communications or emails as required so that all your needs are met. Mortgage solutions are not one-size-fits-all scenarios. We get it right, for you! Contact us today to get started.

 

Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

What is Mortgage Default Insurance and Do I Need it?

The mortgage world can be a tricky one to enter. As interest rates keep fluctuating and qualifying rules keep changing, you can be left feeling thoroughly confused and overwhelmed. Don’t worry! Our expert team of Capital Mortgages agents and brokers are here to help. Have you heard the term ‘mortgage default insurance’ and are not sure if it applies to you? To clear things up, here is some information to better explain the point of mortgage default insurance and when you may need to pay it:

 

What is mortgage default insurance?

Mortgage default insurance is coverage provided to a lender that protects them in the case that a borrower stops making payments and defaults on their mortgage. Like any other insurance, mortgage default insurance requires additional premium payments. The premium amount will vary depending how much of the purchase price is being financed by the mortgage. Your mortgage insurance premium is usually added to your mortgage amount and paid off over the life of your loan. However, you do also have the option of paying the premium upfront from your own resources.

 

Do I have to pay mortgage default insurance?

In Canada, the minimum down payment you can put towards a home is 5 per cent. Any down payments between 5 and 19.99 per cent require mortgage default insurance. By protecting lenders against borrower default, mortgage default insurance offers homebuyers in Canada the ability to purchase property that would otherwise be financially out of reach. Mortgage default insurance is not available on all property types and amounts. A member of our Capital Mortgages team would be happy to help you navigate this issue.

 

How can I minimize my mortgage default insurance amount?

As the borrower, it benefits you to pay more money upfront: the greater the down payment, the smaller your mortgage and, in turn, the lesser your premium. Your down payment must come from your own cash resources. Financial gifts from an immediate family member are also allowable. If you are a first-time homebuyer, you may be eligible under the Home Buyers’ Plan to draw from your RRSP. Your mortgage broker will be able to discuss these options with you to help you determine which is best suited to your needs.

 

Are you still confused about mortgage default insurance and whether or not you need to pay it? We can help! Connect with one of our Capital Mortgages agents today and we will provide you with clear and concise advice, helping you to find the perfect mortgage solution to fit your needs.

 

Capital Mortgages specializes as a service-oriented brokerage that prides itself on integrity and maintaining a service level second to none in the industry.

4 Mortgage Pitfalls to Avoid as a First-Time Homebuyer

There are a lots of different factors to consider when purchasing your first home, such as which neighbourhood to buy in, what type of home you can afford, and securing the right type of financing. It is easy to get swept up in the excitement of making your first home purchase however, there are many mistakes to be made if you aren’t careful. Here are 4 mortgage pitfalls Capital Mortgages can help you avoid as a first-time homebuyer:

 

1) Not Getting Pre-Approved

Mortgage pre-approval should be your first point of call as a first-time homebuyer. Not only will a mortgage pre-approval help you understand your upper loan limit and the amount and type of loan you can afford, but it is the perfect time to discuss with your Capital Mortgages broker the whole process of purchasing your first home and arranging the mortgage best suited for you.

 

2) Taking On More Than You Can Afford

It’s normal to want to buy the biggest home you can afford, however, this may not be the wisest move. A larger home means larger mortgage payments, but it also means more expensive home ownership costs, such as property taxes, maintenance fees, and utility bills. Before purchasing a home, you should take all these costs into consideration and avoid taking on more than you need, even if it is affordable.

 

3) Longer Amortization Period

Your mortgage amortization period is the number of years you will need to pay off your mortgage. It is an important decision that can affect how much interest you pay over the life of your mortgage. The most common amortization period is 25 years, but you can choose a shorter or, if uninsured, a longer period of 30 years. A longer period means that your monthly mortgage payments will be lower, but it will take you that much longer to be mortgage-free. More interest will be paid over the life of the mortgage and you will build the equity in your home at a slower pace. It is also worth noting that if you choose an amortization over 25 years, you must have a down payment of at least 20%.

 

4) Not Reading the Fine Print

When applying for a mortgage, it is in your best interest to understand all the terms and conditions that apply to you and be clear in what you are committing to. Your Capital Mortgages broker will be able to go through all documentation with you, step-by-step, and clearly explain anything that you do not understand.

 

We understand that purchasing your first home can be an overwhelming and intimidating experience. With over 20 years experience in the mortgage industry, the team at Capital Mortgages has the necessary knowledge to help guide you effortlessly through finding your first mortgage and beyond. Contact us today to get started!

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

10 Mortgage Terms Every First-Time Homebuyer Should Know

Buying your first home can be an overwhelming venture. If you are not financially-savvy, then terms such as ‘amortization period’ and ‘variable-rate mortgage’ may have you scratching your head in confusion. To help ease some of your worries, our expert team of brokers at Capital Mortgages have gathered together the top ten mortgage terms that every first-time homebuyer should know:

 

Amortization Period

The mortgage amortization period is the number of years it takes to repay the entire amount of the financing based on a set of fixed payments. Historically, the standard amortization period has been 25 years. However, shorter and, in some cases, longer time frames may be available depending on the amount of down payment you have available.

 

Mortgage Term

Not to be confused with the mortgage amortization period, the mortgage term describes the period of time your mortgage financing agreement covers. After the mortgage term has ended, you will have the choice to repay the remainder of the loan in full or renegotiate a new mortgage at current interest rates. The terms available are six months, or one, two, three, four, five, six, seven, and ten year terms, with the interest rates fixed for whichever length of term you choose.

 

Down Payment

When buying a home in Canada, a minimum down payment of 5 per cent of the purchase property value is required. In addition to the down payment, you must also be able to show that you have the capacity to cover other closing costs such as the legal fees and disbursements, appraisal fees and a survey certificate. At least 5 per cent of the down payment must be from your own cash resources and not a borrowed amount from a financial institution.

 

Principal

The principal describes the original amount borrowed in your mortgage loan, before interest. As you make regular mortgage payments, this number will decrease.

 

Gross Debt Service Ratio (GDS)

This is one of the mathematical calculations used by lenders to determine a borrower’s capacity to repay a mortgage. It takes into account the mortgage payments, property taxes, approximate heating costs, and a percentage of any condo maintenance fees, and this sum is then divided by the gross income of the applicants.  Maximum ratios based on your credit history range between 32 per cent and can go as high as 39 per cent.

 

Total Debt Service (TDS) Ratio

This is the other mathematical calculation used by lenders to determine a borrower’s capacity to repay a mortgage. It takes into account the mortgage payments, property taxes, approximate heating costs, and a percentage of any condo maintenance fees, and any other monthly obligations (i.e. personal loans, car payments, lines of credit, credit card debts, other mortgages, etc.) This sum is then divided by the gross income of the applicants. Ratios up to 40 per cent are acceptable.

 

Fixed Rate Mortgage

The interest rate for a fixed rate mortgage is locked in for the term of the mortgage. Payments are set in advance for the term, providing you with the security of knowing precisely how much your payments will be throughout the entire term. Fixed rate mortgages can be open (may be paid off at any time without breakage costs) or closed (breakage costs apply if paid off prior to maturity).

 

Variable Rate Mortgage

With a variable rate mortgage, mortgage payments and interest rates may fluctuate up and down during the term. Regarding variable rate mortgages with a fixed payment: if interest rates go down, more of the payment is applied to reduce the principal. If rates go up, more of the payment is applied to payment of interest. For variable rate mortgages with a variable payment: if interest rates go down, the payment goes down. If rates go up, the payment goes up. Variable rate mortgages may be open or closed. A variable rate mortgage provides you with the flexibility to take advantage of falling interest rates and to convert to a fixed rate mortgage at any time.

 

Conventional Mortgage

A mortgage up to 80 per cent of the purchase price or the value of the property. A mortgage exceeding 80 per cent is referred to as a “High-Ratio” mortgage and the lender will require insurance for that mortgage.

 

High-Ratio Mortgage

A mortgage that exceeds 80 per cent of the purchase price or appraised value of the property. This type of mortgage requires mortgage default insurance.

 

If you are still a little confused, or would prefer to talk to someone in person about securing your first mortgage, then do not hesitate to reach out to our team! With 20 years of experience in the mortgage business, we have the expert knowledge required to guide you effortlessly through getting your first mortgage and beyond.

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

7 Financial New Year’s Resolutions for 2019

The beginning of every new year presents a blank page — a fresh start which offers you the chance to begin the year on the best foot. If you hope to become more financially savvy in 2019, then take a look at these top financial resolutions to help you save better and spend smarter in the new year:

 

Do an audit of last year’s spending

The best way to formulate an effective financial plan and to stick to it, is to know your spending habits. Do an audit of your spending and financial habits over the previous year. What were you spending the most amount of money on? Were all the purchases necessary? Identify any financial mistakes and make sure not to make them again.

 

Identify your financial goals and set a budget

Armed with the knowledge from your personal audit, decide on your financial goals for the years and set yourself a realistic monthly budget. Are you saving up for a down payment or a vacation? Perhaps you want to help your child pay for their education. Whatever your goals, be specific. Know how much money you need to save and budget accordingly. Whether you use a personal finance app, a spreadsheet, or a trusty notebook, track all your monthly outgoings and make sure you’re staying within your arranged budget.

 

Automate better financial habits

To get yourself started on a more secure financial path, start by automating some better money habits. For instance, set up a direct debit to send money directly into your savings account after you get paid every month. If you have debts to pay off, calculate those in your budget and automate those monthly payments too.

 

Commit to ‘no-spend’ days

One day a month, or even one day a week if you’re feeling ambitious, commit to having a ‘no-spend’ day where you don’t get your wallet out for any reason. Cook at home, watch a movie with your family, and don’t make any purchases. Think outside the box and find free activities to enjoy. You’ll feel all the better for it!

 

Cut back on bad money habits

What did you notice after looking back over last year’s finances? Perhaps you spent too much money on fancy coffee, or went shopping for new clothes too often. By recognizing your bad money habits, you can make more of an effort in the future to curb them.

 

Connect your resolutions

Bad habits can be hard to break and good ones difficult to form. To make things go a little smoother, try connecting your new year’s resolutions until the become second nature. Planning to get fit and exercise in the new year? For every successful workout you do, put $5 into your savings account. Seeing the money stack up will incentivize you to keep heading to the gym. Miss a workout? You have to pay $5 to a family member or friend instead.

 

Listen to a personal finance podcast or read a book

Knowledge is power and the more knowledge you have about your personal finances, the more power you will have to make smarter financial decisions. There are a huge number of personal finance podcasts available, whether your interest is in investing, frugality, or paying off debt. IF you’re not a podcast listener, pick up a book instead.

 

Looking to secure a mortgage in the new year? Capital Mortgages has been serving the community since 1999 with over 4 billion dollars in mortgages placed. We work to deliver unbiased mortgage advice from a vast choice of mortgage options with dozens of different lenders. For you, this means saving both time and money. Do not hesitate to contact us today!

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

The Best Holiday Gifts for New Homeowners

It’s that time of year again! The holiday season is upon us. No doubt you have a long list of gifts to buy for all the important people in your life. If some of those people are new homeowners, they will likely be looking forward to spending their first Christmas in their new home. To commemorate this important milestone, here are some extra special gift ideas for new homeowners:

 

Key Holder

What’s one of the most frustrating things about being a homeowner? Losing your keys! Ensure this never happens by gifting the new homeowner with a stylish key holder that will take pride of place in their entryway.

 

New Home Christmas Ornament

Give the gift of a happy reminder that will be brought out year after year to adorn the Christmas tree! A personalized ‘new home’ ornament is the perfect way for the new homeowner in your life to always look back fondly on the first Christmas in their new home.

 

Personalised Painting

Commission a local artist to paint or draw a picture of the new home, so that it can hang on the wall for many years to come. Even if the homeowners eventually move, the picture will serve as a joyful reminder of the home in which they shared many happy memories.

 

Engraved Cutting Board

If the new homeowner is a whiz in the kitchen, consider getting them a personalized cutting board that is not only practical, but looks great too. If they would prefer not to use it, they can display it in the kitchen instead.

 

Personalized Doormat

A doormat may seem like an uninteresting gift, but it is likely something the homeowner will not purchase for themselves! There are many options these days, from decorative to comedic, giving you the opportunity to pick the best doormat that fits the homeowner’s personality. For an extra special touch, get a personalized doormat with the homeowner’s name.

 

Champagne Flutes

Christmas means holiday parties, hosting friends, and celebrating the year that has just passed. Help the new homeowner see the holiday season through in style with some attractive champagne flutes that they can use to toast other important milestones in the years to come.

 

Scented Holiday Candle

Scents can evoke powerful memories, especially at certain times of the year. Do you have a favourite Christmas scent? Bring the wonder of the holiday season indoors by giving a beautiful scented candle this Christmas.

 

Are you excited for the holidays? At Capital Mortgages, we love this time of year as it gives us the chance to reflect back on all the wonderful times we have shared with our valued clients. If you are looking to buy a home in the new year and would like to learn more about the financing options available to you, do not hesitate to reach out to the experienced team at Capital Mortgages. Whatever your situation, we can help you find a solution that best fits your needs.

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

Ottawa’s Coolest Outdoor Activities this Winter

Every year, winter seems to last longer and longer in Ottawa, so the best thing you can do is make the most of it! There is lots of outdoor fun to be had in Ottawa during the winter months, whether you want to get active, try something new, or spend time with family. If you’re looking to enjoy the splendour of winter this year, here are a few outdoor activities in Ottawa and the surrounding area that you should really try!

 

Winterlude

Winterlude is Ottawa’s annual wintertime festival and is always a huge hit with the entire family! Discover the joys of winter by skating on the Rideau Canal Skateway, viewing the stunning snow sculptures, and watching the ice carving competition. Winterlude events are held at various locations in Ottawa including Confederation Park and Jacques-Cartier Park in Gatineau.

 

Ice Dragon Boat Festival

Take the family out to Dow’s Lake this winter for an enjoyable and thrilling experience on the ice! The Ice Dragon Boat Festival will see 100 teams race down the Rideau Canal Skateway in boats equipped with skate-like blades, using spiked ice-picks to propel themselves along the ice. In addition to the racing, there will be free concerts, fun activities, and traditional Aboriginal and Chinese lion dancers. An event surely not to be missed!

 

Patinage en Foret

Take a road trip north of Ottawa to skate the stunning winter woodland trail at Patinage en Foret. The immaculately maintained outdoor skating trail is three kilometres long and offers a thrilling natural skating experience among the trees. After your skate, enjoy a rest with warm drink in the chalet!

 

Escapade Eskimo

Just an hour outside of Ottawa, enjoy the winter experience of a lifetime with Escapade Eskimo’s dogsledding adventures! How better to explore the beauty of winter than by sitting in a sled pulled by a number of excitable husky dogs? In addition to their dogsledding packages, Escapade Eskimo also offer opportunities for snowshoeing, sledding, and relaxing at the spa.

 

Alight at Night in Upper Canada Village

The beautiful Alight at Night experience is Eastern Ontario’s biggest outdoor light festival! See the splendour of Upper Canada Village’s heritage buildings and trees draped in thousands of twinkling lights. Enjoy a scenic wagon ride with a hot beverage, or take a ride on the vintage merry-go-round.

 

Are you looking to secure a mortgage? At Capital Mortgages, we work to deliver unbiased mortgage advice from a vast choice of mortgage options with dozens of different lenders, saving you both time and money. Contact us today to get started!

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

Why Getting Mortgage Pre-Approval is so Important

Searching for a home can be an exciting but overwhelming task. To make things go as smoothly as possible when hunting for your dream home, consider getting pre-approved for a mortgage first. Mortgage pre-approval can save you time and hassle when you finally find the perfect home! Here are a few things you should know about obtaining a pre-approved mortgage:

 

What is mortgage pre-approval?

A mortgage pre-approval will help you to determine certain financial factors before you start looking for a home, such as the maximum amount you can afford to spend on a home and the expected monthly mortgage payments associated with that price. Applying for mortgage pre-approval is free of charge and doesn’t commit you to one specific lender.

 

Why should I get mortgage pre-approval?

  • The information you receive in obtaining a pre-approved mortgage will aid you in your home search. You will be able to budget accordingly and only look at homes within your financial range of affordability.

 

  • Mortgage pre-approval also allows you to ‘lock in’ a mortgage rate for a 120 day period. This means that even if interest rates go up while you are searching for a home, you are protected and guaranteed a mortgage at the agreed upon rate provided you purchase and close on a home within the 120 day period. If your mortgage lender’s rate falls during this time, the lender will honour the lower rate.

 

  • Being approved for a mortgage also signals to real estate agents that you are a serious buyer. When it comes to placing an offer on a home, your mortgage pre-approval shows the seller that you are stable in regards to financing. It could also help bolster your chances in a multiple offer scenario.

 

How can I get pre-approved for a mortgage?

The first step in getting mortgage pre-approval is to meet with an experienced mortgage agent who will be able to help you determine the best mortgage for your individual needs. They will ask you a series of questions and request specific documentation to get a thorough overview of your financial situation.

 

Capital Mortgages offers step-by-step personal assistance from knowledgeable mortgage brokers and an easy online application process. We’ll be by your side each step of the way, from mortgage pre-approval to finalizing your mortgage and the purchase of your home. Don’t hesitate — contact us today!

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

Important Home Maintenance Tasks for Fall

Ottawa is truly beautiful in the fall. The leaves on the trees turn from green to breathtaking shades of russet, ochre and crimson, while the crisp fall air provides a refreshing change from the humidity of summer. Fall is a time of transition, and this transition should also apply to our homes as we get ready for the coming winter months. By undertaking a few small home maintenance projects now, we can ensure the health of our homes throughout the colder weather. Our team has gathered together a few important fall home exterior maintenance tips for you:

 

Rake leaves

Taking care of your lawn is not just something to consider during the summer months, you should continue to do so during the fall and winter months as well. Make sure to rake up any leaves before the first snow falls. Leaves left under a layer of snow can rot and smother the grass, meaning you won’t have a lovely green lawn to show off when spring arrives.

 

Mow the lawn

Once you have raked up any fallen leaves, mow your lawn. Mowing the lawn is something that should be done regularly. Frequent mowing keeps your lawn under control and stops the long grass from becoming a hiding place for rodents and other small creatures, who may scurry into your home given half the chance.

 

Clean the gutters

Cleaning out gutters is far from an enjoyable outdoor task, but it is an important one! Clear your gutters of any rotten leaves, sticks or other debris to prevent them from overflowing with water in the case of a heavy rainfall this fall or winter.

 

Fix driveway cracks

If left untreated, any cracks in your driveway could pose a huge problem this winter. When snow falls and settles into the cracks, it could cause the concrete to freeze and then expand, making the cracks even bigger. Depending on the material of your driveway, find an appropriate product to fix cracks in the fall and avoid winter damage altogether.

 

Touch up chipped paint

Paint protects the exterior of your home. If paint is flaking or chipped, it means the protective layer is compromised. Chips and cracks could let in moisture, which cause mould and rot. To avoid this issue, make sure to touch up any chipped or flaking paint on the exterior of your home this fall.

 

Remove moss

Moss may look attractive covering your home but it can actually cause huge problems for both your home’s exterior and interior. Moss holds a lot of water, which can seep into your roof and, if left untreated, eventually inside your home. To avoid water damage or mould issues caused by moss, remove it before it has a chance to spread.

 

Are you looking to purchase a home this fall? At Capital Mortgages, we have the knowledge, experience and network to find you the most favourable financing now and for future terms. Do not hesitate – contact us today!

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

6 Reasons to be Thankful for Living in Ottawa

As we look forward to a wonderful Thanksgiving weekend in the beautiful city of Ottawa, we decided to put together a list of all the reasons we are thankful to be living in our Nation’s Capital. Ranked the best place to live in Canada by MoneySense in both 2016 and 2017, Ottawa blends city living with a small town feel — making it a popular choice of residence for many people. Here are just a few of the reasons why we love living in Ottawa!

 

Nature

Ottawa boasts an abundance of beautiful green space. With its many hiking and biking trails, you can explore everything the city has to offer without driving a car. Ottawa is also not far from the stunning vistas of Gatineau Park, a popular destination for outdoor lovers — any season!

 

Restaurants

In recent years, Ottawa’s culinary scene has exploded. From haute cuisine to hidden hole-in-the-wall eateries, this growing foodie movement means that whatever your taste, you’ll find something to satisfy it in Ottawa.

 

History

The city of Ottawa has a rich and interesting history, and there are a number of places to go to learn more about the city and its past. You can stroll along the Rideau Canal —  the oldest continuously operated canal system in North America and, during the winter, the longest ice skating rink in the world. Or you could take a stroll around Parliament Hill and learn about Canada’s political past. The bustling Byward Market is also filled with historical treasures just waiting to be explored!

 

Culture

One of Ottawa’s cultural hubs is the NAC, where you can experience the best in music, theatre, comedy and dance. If you’re a fan of music festivals, Ottawa can scratch that itch too — the city plays host to a number of festivals throughout the year, such as Bluesfest, CityFolk, Escapade and the Ottawa Jazz Festival. If world-class museums and art galleries are more your thing, visit the Museum of History, the War Museum, the National Gallery of Canada, or the recently renovated Ottawa Art Gallery.

 

Family

There’s no denying that Ottawa is a fantastic city in which to raise a family. It boasts great schools and healthcare, and is economically stable. As many homebuyers are getting priced out of bigger cities, such as Toronto and Vancouver, Ottawa has remained affordable.

 

Shopping

The recent expansion of the Rideau Centre has brought many popular high-end stores to Ottawa, turning the mall into a shopaholic’s dream. For those shoppers looking for something a little more unique, there are plenty of fantastic local businesses and boutiques in the Byward Market, Westboro and Hintonburg.

 

We hope that you enjoy a wonderful Thanksgiving with friends and family. If you are looking to secure a mortgage — consider choosing Capital Mortgages. We work to deliver unbiased mortgage advice from a vast choice of mortgage options with dozens of different lenders, saving you both time and money. Contact us today to get started!

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

What Happens to Your Mortgage When a Natural Disaster Destroys Your Home

Last week a series of tornadoes touched down in the Ottawa/Gatineau region leaving destruction in their wake. Many residents suffered days without power, while others were left completely without shelter as the tornadoes caused irreparable damage to their homes. Our thoughts go out to those affected by the events of last week.

It is likely the last thing on your mind in a moment like this, but in the days and weeks following the catastrophe certain questions may need to be answered. Questions such as “What happens to my mortgage after a house is seriously damaged or even completely lost?”

It may not be much, but we hope to answer some of those questions here in the hopes that this information may prove valuable to those residents most affected.

Here are some key points:

In the event the home is damaged, lost, destroyed, or cannot be occupied, the first phone call you make should be to your insurance company.

Unfortunately, regardless of the condition of the home, the obligation to continue paying the mortgage still exists.  It is particularly important that it be kept up to date to protect your credit rating.

If you have any concerns about your ability to make any of your mortgage payments, then contact your Mortgage Company right away. Even if you think there may be some issues down the road, contact them right away. If you are not sure how to reach them, contact your mortgage broker.

Any property owners that have been affected may experience financial hardship as a result of temporary evacuation or from the need to rebuild or repair their homes. The mortgage lenders as well as the mortgage insurers are keenly aware of this.  

Should you have been impacted, the following options may be available to help you through this difficult time:

  • Deferral of your mortgage payments
  • Re-amortization of the loan to result in lower payments helping you with cash flow challenges.
  • Capitalization of outstanding interest arrears and other eligible expenses onto the mortgage.
  • Special payment arrangements to be agreed upon by you and your mortgage lender.

 

The key here is to contact your Mortgage Lender right away if you have any concerns at all. If you have any further questions, you can reach out to our experienced team at Capital Mortgages and we will do everything we can to help you.

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

Your Mortgage Down Payment: What You Need to Know

For many first-time homebuyers, purchasing a house can come with a range of complex emotions. It is not a decision to be taken lightly, least of all because it is one of the biggest financial decisions you will ever make. One of the best things you can do to ease the stress and worry is to arm yourself with knowledge. The first step in the homebuying process is often saving for your down payment. Are you unsure about the purpose of a down payment? Not to worry — we’ve outlined everything you need to know in the following blog:

 

Sit down with a mortgage specialist

Talking to a mortgage expert, even before you start looking at homes, will help to give you a better idea of your current financial situation and what you can afford. Generally, approximately 32% of your monthly income is required to make the mortgage payment, property taxes and heating costs, though this percentage can be higher depending on your credit score. Not only can a mortgage specialist assist you in formulating a saving strategy, but they can also give you more information about Government of Canada programs for homebuyers, and whether or not they apply to your situation.

 

More or less

When buying a home in Canada, a minimum down payment of 5 per cent is required — but that also means paying out for mortgage default insurance. Down payments over 20 per cent of the home’s purchase price do not require additional mortgage default insurance. Mortgage default insurance is a one time premium paid when your purchase closes. You can pay the premium as part of your closing costs or add it to the principal amount of your mortgage. So which is the way to go? Remember that the size of your down payment should be within your current limits of affordability and take into consideration your future financial stability.

 

Using your RRSP

Under the federal government’s Home Buyer’s Plan, first-time home buyers are eligible to use up to $25,000 in RRSP savings per person ($50,000 for couples) for a down payment on a home. The withdrawal is not taxable as long as you repay it within a 15-year period. To qualify, the RRSP funds you plan to use must have been in your RRSP for at least 90 days.

 

Sources of down payment

When sitting down with your mortgage agent, it is important to discuss potential sources of your down payment. Besides personal savings or your RRSP, you could use money in the form of a gift from a direct family matter, or possible funds from a secured line of credit. An experienced mortgage professional will be able to explain these options to you.

 

Identify all costs early on

Buying a home can include more than just the purchase price of the house. There are certain other fees that can be incurred upon a purchase. Make sure you are including any closing or moving costs in your final figures, such as the Land Transfer Tax, as well as budgeting for any potential renovation projects or emergency savings.

 

Set up automatic savings

Setting up automatic savings can take a lot of the stress and guesswork out of saving money every month. Calculate the amount of money you can reasonably afford to part with each month and, as soon as you get paid, have that money automatically transferred from your chequing account to a tax-free savings account.

 

If you are looking to buy a home this year and would like to learn more about the financing options available to you, do not hesitate to reach out to the experienced team at Capital Mortgages. Whatever your situation, we can help you find a solution that best fits your needs.

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

5 Ways to Save Energy at Home

There are a number of energy-saving methods and behaviours that can easily be implemented within your home environment. The benefits of these are twofold: they will save you money on utilities and will help to protect the environment. Whatever drives your decision to start reducing your energy consumption at home, know that a few small day-to-day changes could create a lasting impact on both your wallet and the planet.

 

1) Change your light bulbs

This is one of the simplest and most affordable ways to conserve energy in your home. Energy-efficient light bulbs, such as LEDs, use 25-80% less energy than their traditional incandescent counterparts. In addition, they will last much longer! Though the initial cost is slightly more expensive than traditional bulbs, they will save you both money and energy in the long run.

 

2) Turn off appliances and lights when not in use

Though it seems like a no-brainer, many people forget to turn off lights or appliances when they leave a room. Perhaps you leave your porch light on overnight, or like to sleep with the TV on. By changing these behaviours you can help to reduce your home’s energy consumption, as well as your utility bill.

 

3) Choose alternatives

Make smarter energy-efficient choices about when to use certain home appliances: for example, wash dishes by hand instead of using the dishwasher, or hang clothes outside to dry rather than use the dryer. The appliances in your home that use up the most energy are those required to heat and cool it. Consider opening windows or using a fan in the summer, rather than turning up the AC. You might just notice a big difference in your utility bill.

 

4) Purchase a smart power strip

Did you know that when appliances are in standby mode they are still using up a large amount of energy? Electronics such as plasma TVs, DVD players, and computers, all have a standby mode that enables them to keep drawing power even when they are not turned on. Smart power strips can be used to turn electronics and appliances off when they are not in use to reduce energy wastage.

 

5) Install a programmable or smart thermostat

Smart thermostats, such as the Nest, could end up saving your household a couple hundred dollars a year. By programming your thermostat to reduce heating or cooling functions when you are away from your home or when you go to bed, you can easily reduce unnecessary energy consumption.

 

Making your home more energy efficient is a smart financial decision. Another smart financial decision? Choosing to find a mortgage with Capital Mortgages! We work to deliver unbiased mortgage advice from a vast choice of mortgage options with dozens of different lenders, saving you both time and money. Contact us today to get started!

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley. thank you

Talking Mortgages with Your Partner

Your relationship with your partner will experience many exciting milestones: your first kiss, moving in together, getting engaged, having children… But one of the most important steps in your relationship will be buying a home together and getting your first mortgage. A home will likely be the largest joint purchase you ever make, and you need to be sure you are making the best financial decision to fit your specific needs as a couple. Here are a few pointers on how to talk mortgages and finances with your partner:

 

Share your financial goals

The most important thing to remember when discussing your finances with your partner is to be open and honest. Share your financial situations and goals with one another and make sure that you are both on the same page. Are you looking for a home to start a family or are you looking for more of a centrally located condo or even an investment property? This may not be one specific discussion, but an ongoing series of conversations between you and your partner to best ensure a financially secure future together.

 

How to get the conversation started

Financial matters can be sensitive and personal topics to some people so make sure you approach this conversation seriously. Some items to consider and discuss:

  • Your credit ratings
  • Any outstanding debts (e.g. car or student loans that still need to be paid off)
  • Your salaries (if one of you is a significantly higher earner, will you still split the mortgage payments 50/50?)
  • Your savings (what are you both contributing to the down payment?)
  • Other unique obligations, such as supporting family members

 

Visit your mortgage broker together

After discussing your financial goals and plans, visit your mortgage broker. Having a goal in mind will help your mortgage broker ascertain what financing best suits your needs. Capital Mortgages offers step-by-step personal assistance from knowledgeable mortgage brokers and an easy online application process. We’ll be by your side each step of the way, from helping you understand your options and what to expect, to mortgage pre-approval, and all the way through finalizing your mortgage and the purchase of your home. We may even be able to help you discover other options to realize your goals sooner.  

 

Have a follow-up discussion and make a unified decision

Once you have confirmed your joint goals, met with your Capital Mortgages broker, and have all the information you need, have a follow-up discussion. You and your partner should reassess your joint situation before you make a final decision.

 

As you enter your house-hunt well-informed and prepared, remember it can take months to find your dream home, and financial situations can change in that time. For this reason it’s important to stay in touch with your Capital Mortgages broker to ensure you are always best positioned financially. Remember your pre-approval will only lock in that interest rate for 120 days!

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

5 Simple Steps to Getting Your First Mortgage

If this is your first time getting a loan or mortgage, the process can seem overwhelming. To make it simpler, we’ve broken the process down into five easy-and important-steps:

 

Determine a borrowing budget

You’ll want to be realistic about what amount you can borrow based on your monthly expenses (keeping in mind your other expenses and property taxes, homeowner’s insurance, and maintenance costs). Your mortgage broker can help you determine what your monthly mortgage payment would be based on your down payment, interest rates, and length of loan term.

 

Save for a down payment

For a first mortgage, you’ll need to have the down payment ready to supplement your mortgage. In Canada, the minimum down payment is 5% of the purchase price of your home. If your down payment is less than 20% of the purchase price of your home, you are required to purchase mortgage default insurance. This insurance will protect the lender in the case that you default on your loan and is arranged by the lender the mortgage broker places your mortgage with.

 

Mortgage rates

Keep in mind that the lowest interest rate may not always be the best option for your specific needs. Your mortgage broker will explain the differences to you. For more information about rates, read our latest blog post: ‘A Quick Discussion on Interest Rates’.

 

Choose a lender or mortgage broker

An experienced mortgage broker will be able to help you learn about what types of products might best fit your individual needs. The mortgage broker will shop the market for you to make sure you are offered the rate and product you deserve. This is the time to arrange a pre-approval with the mortgage broker.

 

Prepare your documents

Once you’ve completed all of the previous steps you’ll need to gather your required paperwork. Often these documents should be provided even at the pre-approval stage. Lenders will require letters of employment and income, recent paycheck stubs, tax returns, bank account statements, and information on other debts or loans.

 

If you’re a first-time homeowner, the qualified professionals at Capital Mortgages can help you determine the loan that will best fit your needs. We offer as many in-person meetings, phone communications or emails as needed so you feel comfortable with the mortgage process. Contact us today!

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

Essential Cleaning Tools for Your Home

Whether you have just moved into your first home and need to put together a kit of cleaning supplies, or your existing tools need an update, we’ve put together a comprehensive list of the most important and essential cleaning tools to keep your home tip top and squeaky clean!

 

Microfiber cloths

This little cloths are fantastic in pretty much every room of the house! They are super soft so won’t scratch surfaces, and are great at picking up dust and leaving a streak-free finish. They work amazingly well on windows and mirrors.

 

Swedish dishcloths

Never heard of a Swedish dishcloth? You’ve been missing out! Swedish dishcloths are amazing multi-tasking tools that can take the place of your kitchen sponges and paper towels. Made from a blend of cellulose and cotton, they are natural, super absorbent, and can even be washed in the dishwasher or washing machine. Perfect for wiping down countertops and mopping up spills!

 

Rubber gloves

Protect your hands when using harsh cleaning supplies by wearing a pair of rubber gloves. Gloves are also good to wear when washing dishes!

 

A bucket

A large bucket can be used to store cleaning supplies when not in use, as well as for a multitude of other jobs around the house. Fill it up when cleaning floors, windows, or even scrubbing your back deck.

 

A squeegee

These handy little items work well in the bathroom for cleaning the shower after it’s been used! By wiping the water droplets away immediately you can prevent the appearance of mould. Squeegees are also great for cleaning windows.

 

Scrubbing brushes

Sometimes a cloth just won’t stand up to the task! In places such as the bathroom or kitchen, you may have to use a bit of elbow grease to shift stubborn stains from tiles or around the sink. For those smaller harder-to-reach spots, such as the grout between tiles or around the faucet, you can use an old toothbrush!

 

A dustpan and brush

Handy for tidying up crumbs on hard floor surfaces such as linoleum or hardwood, especially if you have children or pets! A full-size broom with a clip on dustpan will prevent you having to bend over or kneel when sweeping up.

 

A vacuum cleaner

A heavier duty items to keep floors clean, especially if you have rugs or carpets! By keeping your floors free of dust and hair, you can keep allergies at bay.

 

For more useful and important home tips, make sure to follow Capital Mortgages on Facebook, LinkedIn and Twitter! Looking for a mortgage? We offer step-by-step personal assistance from our team of knowledgeable mortgage brokers to make your life easier! Don’t hesitate to reach out to us today!

 

Capital Mortgages Inc is an independent brokerage in the Mortgage Centre Canada Network and one of Ontario’s leading real estate mortgage brokerages with offices in Ottawa and the valley.

Tips for Downsizing to a Smaller Home

Are you downsizing to a smaller home this year? Perhaps your children have flown the nest, or maybe you’re finding it difficult to maintain such a large home — either physically or financially. Whatever the reason, there are a few things you should take into consideration when looking to downsize. Here are a few of our Capital Mortgages top tips for downsizing to a smaller home:

 

Make an inventory

Taking an inventory of existing items is a good way to see what you have and what you want to keep, discard, sell, or donate. You may find that you have a number of duplicate items: the kitchen is the worst area for this! Do you really need all three pairs of salad tongs?

 

Sell unwanted items

Selling off your large or unwanted items is a good way to make a little bit of extra money while you downsize. This extra cash could then be used towards new, more appropriate items, for your new space. Online marketplaces are a great place to list your unwanted items. You can also donate certain items, or ask family members if there is anything they would be interested in taking.

 

Measure, measure, measure!

Take note of the dimensions of your new smaller home as well as your existing furniture. Before you move, you should know which furniture items will easily fit into the new space which will just be too big.

 

Look for storage solutions

Does your new home have a lot of storage space? If not, look to update the space with innovative storage solutions, such as under-bed storage, hanging racks and built-in shelves.

 

Pack as you go

Move through your house room by room, assessing items and packing as you go. It helps to start in a room that you don’t use very often, such as the basement or guest room. Once you’ve gone through one room, try and get rid of the items quickly — whether you are packing, donating, or selling them. This stops you from going back and changing your mind. For more tips, read our blog on the best packing tips when moving home!

 

Ask questions

Some good questions to ask yourself as you pack could include:

  • When was the last time I used this item?
  • Can I see it fitting into my new life at my new home?
  • Does this item have sentimental value that can’t be replaced?
  • Could I get by without this item?

 

Downsizing can seem like a daunting task, but hopefully these tips will make the job seem less overwhelming. For any information you may require regarding a new or existing mortgage, we can help! We work with over 35 lenders to secure the best financing for your needs. Don’t hesitate to contact Capital Mortgages today.

10 Brilliant & Decorative Home Organization Hacks

 

 

You can easily find gorgeous home décor and useful storage solutions (i.e., storage bins), but it’s harder to find a combination of the two. Areas where home organization solutions are needed are often areas that will also be on full display to guests so, ideally, they should function as tools to de-clutter while still adding to the attractiveness of your home.

 

 

If you cringe at the thought of hideous plastic storage crates and bland cardboard boxes, here are 10 simple, creative and functional home organization and storage ideas that will heighten your home’s aesthetic:

 

1) Display kitchen essentials on a tray

This easy hack can transform your kitchen: Round up your most-used kitchen items (i.e., olive oil, salt and pepper shakers) and place them on a decorative tray to help your kitchen counters look elegant and put-together.

 

2) Use a magnetic knife rack in your bathroom

Install a magnetic knife rack in your bathroom to ensure you always know where your nail clipper, bobby pins and tweezers are.

 

3) Display jewellery on your vanity

Instead of hiding away your stylish earrings and jewellery in a drawer, sort them into beautiful arrangements on a decorative catch-all dish, glass box, or by hanging them from a jewellery tree or cork board.

 

4) Buy matching hangers

If you often have visitors to your home, your entryway closet will see a lot of action. Buying matching hangers—especially good-quality wood hangers—will help your closet look tidy and uniform and save on space between hangers.

 

5) Keep boots looking their best

Do you hate the way your boots sag and lose their shape in your closet? Cut up a cheap pool noodle to pop in your boots and ensure they look their best, even when you’re not wearing them.

 

6) Pare down your linen closet

Give your linen closet a polished look by removing old, fraying or mismatched towels, extra sheet sets and other out-of-place items.

 

7) Group bathroom essentials together

Simply filling containers, such as a glass mason jar, with everyday items like cotton balls or Q-tips can beautify your counter while making things easier to reach for.

 

8) Upcycle tin cans

Wrap tin cans in colourful scrapbook paper to match your home’s decor. The colourful containers can then be used for anything from pens and pencils, to kitchen utensils or even flowers!

 

9) Tie linens and towel sets together with ribbon or twine

For a more coordinated look, sort and decorate your linen or towel sets with colorful ribbon, twine or yarn.

 

10) Organize pots and lids

Save yourself space (and headaches) by organizing pots and pot lids with a lid organizer or hardware store tension rod installed in a drawer.

 

Are you tired of searching around for the most favourable mortgage rates? We have an outstanding range of mortgages and lenders available to help you build the mortgage blueprint that best fits your financial future. Contact Capital Mortgages today and let us take care of you.

 

Stories from our Brokers: Brad Nemes

When you’re in the market for home financing and are searching for the right mortgage to fit your needs, you want to be sure that you are in the best hands. Our team of experienced mortgage brokers and agents offer seamless solutions for all your mortgage needs — whether you’re looking to purchase a principal residence, a revenue producing property, or to refinance existing loans and mortgages.

 

Today we start an exciting new online series in order to help you get to know our team of brokers! By hearing stories from our brokers in their own words, we hope to give you an insight into the real people behind our dedicated team of staff — so that you’ll feel confident in choosing Capital Mortgages as your mortgage broker for life.

 

Name: Brad Nemes

Time with Capital Mortgages: 15 years

 

What do you love most about your job as a broker with Capital Mortgages?

For me, the best part of the job is saying the word ‘APPROVED’, making people happy and letting them enjoy their homes.

 

Tell us the most inspirational story from your work as a broker?

Recovering poor credit is always the best story. Having a client come in, helping them understand their credit score, having them fix it and then moving forward with a purchase.

 

Tell us the funniest or most embarrassing moment from your work as a broker?

Once a client texted me a photograph from their cell phone, of their computer screen showing their online banking balance… for a down payment!

 

What is your #1 piece of advice for first-time home buyers?

Be careful. There is a lot to be said for taking the time to understand the entire process and checking to make sure it’s correct. What you see on the Internet is not always true. When you search for mortgages online you get exposed to everyone’s marketing and you have to dig through the layers of that to understand the new rules of lending.

 

What is your favourite thing to do in Ottawa?

Finding the latest, greatest new (or old!) dinner spot with my wife. It doesn’t always have to be the most expensive but it does need to be creative and tasty. From BBQ, tacos or soup, to steak or sushi, I’m game for it all!