3 Tips For Financing Your Home In Ottawa

Here are three tips for financing your home in Canada. 🏡💰

If you're considering purchasing a home with a mortgage in Canada, these three tips will ensure you're well prepared for the financing journey. 🇨🇦🏠

Number one, reduce your debt. 💳📉

Canadian lenders typically prefer your total debt obligations, including your mortgage, to be no more than 32% of your gross household income. 💼💰

Your monthly payment should ideally be between 25 to 20% of this income. 💵

This means you aim to keep your monthly payments for other debts, such as car loans, student loans, and credit card balances, to around 8 to 10% of your monthly earnings. 💳💸

Number two, save for a down payment, set aside a specific sum every month into a savings account for your down payment. 💲🏦

While some mortgages in Canada can secure as little as a 5% down payment, securing a mortgage is often more favorable with a larger down payment. 🏠💰

Remember to account for closing costs, which can usually range from 1.5% to 4% of the property's purchase price. 🏠📋

Number three, review your credit report and maintain a strong credit history. 📊🔍

Obtain a copy of your credit report from a Canadian Credit Bureau. Make sure it's accurate and rectify any discrepancies promptly. 📈🔍

A credit report offers an overview of your creditworthiness, detailing any outstanding debt or late payments. Secure credit cards and ensure timely payments. 💳📆

Make sure all your other bills are paid on schedule whenever possible and settle your balances promptly. 💵📅

If you're unsure about any part of the home buying process in Canada or need further advice, don't hesitate to reach out to the Henry real estate team today. 🤝🇨🇦

Contact the Hamre Real Estate Team today via call, text, or email. 📞📱📧

We're here to guide you and support you every step of the way. 🏠🤗