As a first time buyer, you’re likely to have many questions about selecting, financing and buying your first home. How do we start looking for a home? How much money will we require to purchase the home? How much will the mortgage payments be each month and can we afford it? How does the home buying process work and what can we expect along the way? These are just a few of the questions you’re bound to have at the beginning of your exciting journey to buying your very first home!

A RE/MAX Sales Associate can provide the answers to your questions and walk you through the entire process, from viewing potential homes to making an offer to setting up mortgage financing. Although buying your first home can be overwhelming, you can be confident that your RE/MAX Sales Associate will be available to help you every step of the way. RE/MAX can make buying your first home simple and straightforward, eliminating any confusion and doubt and allowing you the opportunity to enjoy your first home, worry-free.

While you can put more down and experience lower monthly mortgage payments a client can obtain  a home with 5% downpayment not including other expenses.

Keep in Mind the less you put down the higher your payments

Just a 5% Down Payment?
The following is an excerpt from the Canada Mortgage and Housing Corporation website under the topic of "Mortgage Loan Insurance":

Get into your home sooner. Mortgage Loan Insurance helps you do it. Put as little as 5% down.

When you need a mortgage loan that is more than 75% of the purchase price of your home, mortgage loan insurance is required. It protects the lender and, by law, most Canadian lending institutions require it.

Having mortgage loan insurance means that if you, the borrower; default on your mortgage, the lender is paid back by the insurer - CMHC or a private company¹. With the risk of losing their money removed, lenders have the confidence to make mortgage loans of up to 95% of the purchase price of the home (subject to price ceilings).

That means your down payment can be as little as 5% of the house price. With mortgage loan insurance, many Canadians who might be unable to obtain a 25% down payment can still buy a home.

What does mortgage loan insurance cost?
There are two components: an application fee and an insurance premium. The application fee typically ranges from $75.00 to $235.00 and mortgage loan insurance premiums range from 0.5%-3.75% of the amount of your loan (additional charges may apply), depending on the size of the loan and the value of your home. The premium can be added to your mortgage loan and paid off as part of your regular mortgage payments, or paid off in a lump sum at the time of purchase to save interest charges on the premium itself.

Where can mortgage loan insurance be obtained?
See your lender, who can obtain mortgage loan insurance from CMHC or private insurer.

CMHC will insure mortgages of up to 95% of the home’s purchase price or the market value of the property, whichever is less. (Restrictions may apply. Contact your local lender.)

Both new and resale homes are eligible. Here are some of the criteria that must be met:

The home must be in Canada and must be your principal residence. Housing payments, including principal, interest, property taxes, heating (P.I.T.H.), the annual site lease in the case of leasehold tenure and 50% of applicable condominium fees, can’t be more than 32% of your gross household income (GDS ratio).

Your total debt load can’t be more than 40% of your gross household income (TDS ratio). Other criteria apply and are subject to change. For details, please contact CMHC or your local lender.

Right now, 3 million Canadians own home owners are insured.
Article Above by  Re/MAx of Western Canada  Buyer/Seller Information.

What this means is
1. First, you will want to talk to a mortgage broker.  I can help you by going over what this process looks like. Or/  If you have a mortgage broker you trust and are happy with you can go direct to them.

2. If you dont have a mortgage broker I can help.  I have access to outstanding individuals there to assist you.

3.You will want to be preapproved.This means two things you are financially ready to shop for a home. And you wont loose a home to someone who already is, if you are not. 

4.Basically preapproved means you are approved for so much money for a home.  To find out how much you qualify for you  will hand in your  financial and employment information to the mortgage broker. Your broker will also need to find out your credit score. If you haven’t done so then you are not truly approved.

5..Your credit score determines your interest rate on your loan- how high or low your payments will be. The better the credit rate the lower the payment.

6. After you have handed in your information your  morgage broker will inform you  how much the lenders are willing to loan you meaning how much you qualify and how much you can shop for.

Equally important is determining if the payments fit you comfortably for your lifestyle. You will want to ask your lender what they will look like. This is very important as you want to be able to enjoy your new home.

7. Once you know your numbers we can find you a home. I will be there every step of the way. 



If you are thinking about purchasing a new home or know someone who is, Lets me know now. Lets get started !  I’d love to help!

It can be time consuming stressful and daunting when you dont know the process. Your not alone. Most people dont purchase a house every day. This is important and major to you.

Even if you’ve have purchased a home before,  things change. I will walk you through each step of the way so you are informed.. This is about your home and where you will create your new memories I want to make this a smooth  process as possible for you! I’d love to help Lets get started!

Keeping you informed

"Its about your real estate transaction." " Its about you." 



Your Realtor®
Michele