Can I have a land draw if I already own the land?
Land draws are subject to approval for conventional mortgages when the land is being purchased, has been purchased, and is free and clear, or if […]
Read moreArchives: FAQs
What is the minimum percentage lenders will fund final advance on?
Lenders will only fund if the house is 100% complete (less 3% allowance for seasonal holdbacks.) This means that the house can be completed to […]
Read moreHow long do I have to build?
Generally, there is no set amount of time. Typically at the 1 year mark, the mortgage will go into repayment and regular mortgage payments need […]
Read moreOn a progress draw mortgage, do I pay interest on the whole amount I want to borrow or just what I have borrowed so far?
You only pay interest on the amount you have actually borrowed. Your monthly interest payments will increase as your home progresses and you borrow more.
Read moreHow does the Construction Lien Act affect my construction project, and how is it handled during construction?
Any person or company that supplies your project with materials or labour has the right to place a lien against the title of your home […]
Read moreCan we make changes to the mortgage application, such as length of term, repayment frequency, etc., once the application has been submitted?
Yes. Your ideal mortgage formula has probably already been created, but if you want to consider a change let’s review the possible benefits and implications.
Read moreWhat is an IAD or Interest Adjustment Date?
If your transaction is due to close in the middle of the month, but your regular mortgage payments are set for the start of the […]
Read moreHow much of a downpayment will I need?
The minimum down payment required to purchase a home in Canada depends on the property’s purchase price. The down payment is calculated as a percentage […]
Read moreWhat is the difference between High Ratio Mortgage Insurance and Mortgage Life Insurance?
High Ratio Mortgage Insurance protects the lender against payment default by the home buyer. It is required by most lenders if the home buyer has […]
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