Mortgage Types

Curious about what Newman Mortgages can do for your particular mortgage needs?

Listed below are mortgage services that we are ready to assist you with. Contact us (or even apply today) and let’s work on a solution tailored to your specific needs.

Mortgage Pre-Approvals and Rate Holds

A mortgage pre-approval is an important step in the home buying process, this step gives you an overall idea of what you can realistically afford and what the lenders will provide as your maximum mortgage. We also explain what documents will be needed for your final approval before you even buy a home. Keep in mind that you have to be able to substantiate the information from your application. Our job here is to focus on the mortgage technical’ s so you can focus on shopping for the right home.

MORTGAGE PRE-APPROVALS are usually valid for 60 – 120 days depending on the lender so make sure your credit, income and down payment situations do not change or we may have to adjust your pre-approval amount. Aside from the document review and underwriting processes, your pre-approval can also be coupled as a rate hold which is ever so important when rates are increasing. As long as you finalize your new mortgage with in your RATE HOLD PERIOD, you will be eligible for your rate hold. No matter what, as your broker we always get you the best possible rate so if rates drop after your rate hold, you will get the better rate.

Repeat Buyers

Now, if you already have a mortgage and you want to purchase a new home then we need to determine if it makes sense PORTING your existing mortgage to the new property or taking a brand new mortgage altogether. Very simply, this comes down to penalty paid to break your current mortgage vs interest saved and the suitability of a new mortgage over the long run. Repeat buyers usually have more complicated mortgage scenarios vs first timers. For example, do you port your mortgage, BLEND AND EXTEND the current mortgage, go with a second mortgage? On top of that, do you need a BRIDGE LOAN for your down payment and closing cost to make it all work. This is a head spinning exercise for anyone so leave this analysis to us! We can guide you through all your scenarios so you can make the best decision.

Self-Employed Mortgages

Being self employed definitely has it’s pros and cons. One advantage is that you can reduce your income tax payable by showing less income but will showing less income come back to haunt you at mortgage time?

Deducting your income to the lowest tax bracket doesn’t always look good and can really limit your pre-approval levels. A quick word of advice, always plan to show more income for 2 years straight if you need to qualify for a higher mortgage. Not to worry if you didn’t know this general rule.

I work with lenders that offer excellent mortgage options for self-employed Canadians that don’t fit into the bank box. These lenders understand that self-employed individuals have tax write-offs creating significant reductions in their DECLARED INCOME. With these mortgage lenders, you will not be required to fully prove your income and a reasonable estimate of your annual income can be accepted. There are also many other alternative lenders that have helped millions of self employed borrowers when the bank says no.

Separation Mortgages

Going through a separation is not easy and not knowing how or what you can you buy once the separation is finalized is just added stress to an already emotional situation. Also, maybe you want to stay in your home, that said, a SPOUSAL BUY OUT plan will help you determine if you can keep your home or if you need to sell and buy something else. The process is much same as any purchase plan and pre-approval, we just need to get the separation terms and go from there.

2nd Properties – Cottages And 2nd Homes

Buying a cottage is a dream of many and not as hard as you think. There are many lenders out there that will let you do this with as little as 5% down and closing costs as long as you meet the credit, income and property criteria. When I say property criteria, I mean not all cottages are built equally so check in with me on the exact cottage you are interested in since 4 season and 3 season cottages have different down payment and mortgage rules. In any case, we can make this work or set you up on a plan to make it happen.

Ever think that buying a property for your child going to post secondary schooling or helping them get into their first home is a good idea? Well, it is! Millions of parents are now buying 2nd homes instead of paying residence fee’s or painfully watching your kid try to save for their down payment. What many Canadians don’t realize is that, most mortgage lenders will allow you to buy a 2nd home with as little as 5% down as long as the home is deemed an owner-occupied secondary residence. Check in with me for more details on 2nd home mortgage programs.

Rental Property Mortgages

This is becoming the fastest growing segment of mortgage purchases in the country due to a number of reasons. One being the attractiveness of increased property values and low rates. Also, more people are becoming aware of the advantages of leveraging existing equity in their primary residence to buy more properties. All you need to make this happen is 20% down on the new property and in most cases with home equity gains, many people are restructuring their current mortgage to pull equity out so they start building their RENTAL PROPERTY PORTFOLIO. Let your renters convert your debt to equity and pay down your rental mortgages. You know what they say?!? Once you have one, you can have two. Mortgage rules today favor those with multiple rentals. If you want to find out how many properties you can buy. Feel free to request a personal consultation with me to discuss how to set up your residential rental portfolio so you can start building generational wealth.

Mortgage Refinances

Debt Consolidation: Cash flow is king when on a tight budget so does it makes sense to tread water keeping your mortgage payment the same while your other loans aren’t moving? I don’t think so, I think it is better to REFINANCE or increase the mortgage to pay off your other debts thereby resetting your budget to an overall lower payment, making life more manageable. One important part of this strategy is knowing “good debt” from “bad debt”. A well-planned mortgage can help you turn those bad debts into good debts and get them out of the way so you can breathe a little easier. Speak to me about more ways to refinancing can make your life easier.

Even if you are in total control of your other debts, accessing the equity from your home the right way at the right time can help you pay for your renovations, cover unexpected situations, buy another property, invest in your business, there are so many other reasons to leverage your existing home equity. Adding a HOME EQUITY LINE OF CREDIT (HELOC) is one of the most advantageous mortgage tools to have in your back pocket.

Mortgage Renewals

Is a renewal just a renewal? No, it can be so much more!

If you are not happy with your current lenders renewal offer then take advantage of todays FREE MORTGAGE SWITCH program where by the new mortgage company will cover your fees to move the mortgage over to them at a better rate. To get ahead of the renewal transition, we recommend getting in touch with us 120 days prior to your scheduled renewal date to lock in a rate and do a full mortgage analysis. Since your mortgage goes into an OPEN STATUS meaning there is a PENALTY FREE period, this would be a good time to look at your overall mortgage picture and goals to determine if refinancing or restructuring the mortgage makes more sense then just rolling it over into a new term.

Reverse Mortgages / Retiree Mortgages

Increasingly, retired Canadians are looking for retirement financing solutions that allow them to maintain home ownership for as long as possible with out being able to mee the banks regular qualifications. Furthermore, there are lots of mortgage options for those seeking to excess the equity in their home by using, pension income, CPP and OAS government income, income from retirement funds and other investments. Although not regular employment income, many of these others sources incomes can still be used to qualify for a “BEST RATE” mortgage. Furthermore, even if you don’t have any income sources, you can apply for a reverse mortgage which gives you tax free cash and little no more income qualifications. You essentially draw down the already existing equity in your home like an annuity payment. Give me a ring to chat about how to qualify for a reverse mortgage or what income documents needed to qualify for a regular mortgage.

Alternative Mortgages

Declined by your branch for credit or income reasons even though you have the equity or down payment ready to go? Don’t stress! Set up a call with us to discuss all the other options aside from the major banks. As brokers we have access to several ALTERNATIVE MORTGAGE LENDERS who have less strict mortgage rules. TRUST COMPANIES, CREDIT UNIONS, PRIVATE LENDERS can provide very reasonable 1ST 2ND and 3RD MORTGAGES without being confined into the traditional bank box. Rates and fee’s will vary depending on your situation but it never hurts to get a quote.