Mortgage Navigator – Shane Mouwen | MMG Mortgages



What is minimum down payment to buy a home?

Minimum down payment when buying your primary residence is 5% on the first $500,000 and 10% on the amount above $500,000. $600,000 purchase price requires 5% of $500,000 (25,000) + 10% of $100,000 (10,000) for total of 35,000. If the home is $1,000,000 or more, minimum down payment becomes 20%.

Do I need 20% when I’m buying my second home?

Minimum down payment rules apply for anyone purchasing their primary residence. If you’re purchasing an investment property, you will need 20% down payment.

Does a higher credit score get me a better rate?

No, as long as you meet the minimum credit score requirement to qualify you will have access to best rates. However if your credit score is below minimum requirements to qualify for conventional lending, we can explore alternative lenders who have more flexible lending policies but require 20%+ down payment and charge higher interest rates.

I’m currently on Maternity leave, can we use my income to qualify?

Yes, as long as you have a return to work date that your employer will verify on an employment letter.

Should I wait until I have 20% down payment to buy a home?

It’s always a good idea to put 20% down if possible but that doesn’t mean you should wait until you have 20% to buy, especially if it will take 12-24 months to save that amount.

What is CMHC Insurance?

Mortgage Default Insurance is commonly referred to as CMHC insurance, however there are two other insurance providers that are used regularly; Sagen and Canada Guarantee. The cost of the insurance is the same with each provider and which insurer is used will be determined by the lender providing your mortgage.

Why should I use a mortgage broker?

Mortgage Brokers in Canada have access to many different lending options, such as Major Banks, Credit Unions, Monoline Lenders, and alternative lenders. It has never been harder to qualify for a mortgage, so why not use someone that can provide multiple solutions. People often assume their branch will take the best care of them but the reality is Major banks often provide better options to new clients to get them in the door to try and upsell their other products, and loyal customers often pay a premium at renewal. Banks have millions of clients and more new clients coming every day, so don’t be surprised if your loyalty isn’t being reciprocated.  
Scroll to Top