Know How Much You Can Afford - Before you begin shopping for your new home, plan ahead and calculate how much you can comfortably afford. In addition to closing cost, don't forget to calculate various expenses related to home ownership like: property taxes, property maintenance, renovations, home insurance, utilities, etc.
Saving for Downpayment - While high ratio mortgage insurance program does not help you save for the down payment, it sure eases your way to home ownership. High ratio mortgages must be insured through CMHC (Canada Mortgage and Housing Corporation) or GE (GE Capital Mortgage Insurance Canada). Find out more about down payment, and learn how to save money for down payment.
Once you are ready to obtain a mortgage, it is a good idea to select a lender to get pre-approved for mortgage.
Pre-approval is a formal process and a mortgage pre-approval certificate is a valuable document with a written confirmation for a specific maximal amount of mortgage and fixed interest rate good for a specific period of time. Find out how you can get pre-approved for mortgage.
By preparing yourself and your finances before a property purchase, you can ensure a smooth finance process and can potentially save thousands on your loan. Start here by learning about mortgage options available and get familiar with mortgage terminology.