Debunking These 3 Common Mortgage Myths

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Debunking These 3 Common Mortgage Myths
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• Mortgages need not be complex and intimidating,
  especially if you work with a local mortgage
  broker, but it is important to have a basic
  understanding of how they work, and perhaps more
  importantly, how they dont work.
• Misunderstanding your mortgage options or making
  an error of judgement when choosing a lender,
  could end up costing you dearly, as can listening
  to some of the myths that abound when it comes to
  mortgages and how they work. Below, we debunk 3
  of the most commonly believed mortgage myths to
  help you get to grips with your mortgage options

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• 1. Only if youre a first-time buyer, can you
  make a 5 down payment
• Once upon a time, this was the case, and only
  those buying a home for the first time, were
  eligible to make a 5 down payment on a property
  all other buyers were required to put down at
  least 10. Nowadays, however, a down payment of
  5 is available to anyone seeking to buy a
  primary or second residence in Canada.

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• 2. If youre self-employed, you wont qualify for
  a mortgage
• This is partially true if youve been
  self-employed for less than two years and dont
  claim enough income on your personal taxes, you
  wont qualify for a mortgage. However, once you
  can show that youve been legitimately
  self-employed and claiming income on your taxes,
  youll be eligible for a mortgage and treated no
  differently by lenders as someone on a salary at
  the same income amount.

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• If youre self-employed and file your taxes and
  claim the income, you shouldnt encounter any
  difficulties applying for a mortgage. If in doubt
  about your circumstances or status, talk to a
  qualified mortgage broker in your area.
• 3. Avoid mortgage insurance by waiting until you
  have a 20 down payment
• This may be a viable option for some homebuyers,
  but in a lot of cases, if theyre not paying a
  mortgage, theyre paying a figure out in rent
  each month, and this kind of expense is lost
  forever. Purchasing a home with a smaller down
  payment (less than 20) and paying the mortgage
  default insurance premium, gives you the chance
  to start paying toward equity in the home, and
  depending upon the condition of the real estate
  market, also allows equity to appreciate in the
  home.

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• Waiting until youve got enough for a 20 down
  payment could see you miss out on an opportunity
  to become a homeowner with a higher net worth
  than those who dont own their own home.
• When it comes to something as significant as a
  mortgage, its essential that you get the facts,
  not the myths, and one way of ensuring that you
  do, is to work with an experienced mortgage
  broker in your locality.

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• Mortgage-broker-Calgary is your best resource for
  finding a mortgage for your property. Luke Wile,
  is one of the best mortgage brokers in Calgary
  and is proud to serve clients from across Canada,
  while being centered in Calgary, Alberta. Luke is
  proud to serve his clients with a personalized
  approach to finding his clients the best and
  lowest Canadian interest rates and terms offered
  by the major banks and private lending
  institutions. If you are looking for a Calgary
  mortgage agent, with Luke Wile you can get fast
  and personal expertise for your mortgage!