What property considerations impact my mortgage application?
Lenders carefully assess the property's value and characteristics, directly influencing the loan amount you can secure.
Key Points
Your home must be in Canada, livable year-round, and accessible in all seasons.
Your lender will carefully check the assessed value of the property to make sure it's accurate.
Your lender might adjust the property's value based on its location and current market conditions when calculating your (/glossary/loan-to-value) (LTV) ratio.
You can only borrow up to 65% of your home's value with a Home Equity Line of Credit (HELOC).
Technical Research Verification
Our systems synchronized 4 data points and regulatory frameworks to verify this technical brief.
Related Questions
How does mortgage insurance enable lower down payments?
Mortgage insurance lowers the risk for lenders, allowing them to offer mortgages to borrowers with down payments between 5% and 20%.
How will lenders evaluate my debt service ratios, and what key factors are considered?
Lenders assess your ability to repay the mortgage by calculating your Gross Debt Service (GDS) and Total Debt Service (TDS) ratios.
How does the 'straight switch' exemption benefit you at renewal?
The 'straight switch' exemption lets uninsured mortgage borrowers move their mortgage to a new federally regulated lender (FRFI) at renewal without needing to pass the Minimum Qualifying Rate (MQR) .
What are Loan-to-Income (LTI) limits and how will they affect institutional mortgage portfolios?
OSFI is introducing Loan-to-Income (LTI) limits to reduce risks from high household debt in institutional mortgage portfolios .