Docs you need to Renew Your Mortgage

Get these documents together before you start the refinance process.  Identification 0   Photo ID of two pieces plus / Passport if available.  Citizenship Docs not required. 

The stress test does apply when you change lenders but in today's rate environment that should not slow you down. 

Think back to your original mortgage and all of the documents that you had to gather. For a refinance, the documentation for your refinance is pretty much the same. The overall purpose is to prove different aspects of your finances to your lender.

All lenders have slightly different requirements, but you can bet that they'll probably ask for documents in the following seven categories:

1) Proof of income: Proving your income generally requires the following documents.

The last 30 days of pay stubs

Your current tax returns

Tax forms like T4's and Notice of Assessment ( NOA ) 

2) Insurance: You'll probably need to produce documentation for two kinds of insurance:

Homeowners insurance, to verify that you have enough current coverage for your home.

Title insurance, to help your lender to check the taxes, the names on the title, and the legal description of the property.

3) Credit information: You'll need a recent credit score and credit reports.

4) Monthly debt load: While your lender will be able to see your debts during a credit check, you will still have to account for those debts. That means pulling together documents for things like:

Your current mortgage

Home equity loans

Credit cards

Auto loans / Lease Details

Student loans

5) Total assets: You need to document all of your financial assets other than your home. This means documenting things like:

Savings accounts

Stocks

Bonds

Mutual funds

CDs

Retirement accounts like RRSP's and TSFA's 

Other real estate

6) Appraisal: Your lender will probably also ask for a current appraisal of the house.

7) Loan to Value appraisal: The lender will usually also ask for some kind of appraisal (perhaps informal) of how much your house is worth compared to what you owe on the existing loan.

Once you've got all of this information together, it should be smooth sailing, right? In a perfect world, yes. Expect plenty of delays regardless of how well organized things are on your end. Not that this is a reason not to do a refinance-but knowing what to expect can make the process seem a little less frustrating.


Further information or Direct Answers are available from Veronica Thompson 647 628 7007 or VThompson@MortgageAlliance.com

Call today!

Included Child Benefit to Qualify

Slow on a few payments
Stressed at the debt?

In my new role I help clients in  all situations.

In this case my clients had a young family with 4 children, three under 12; who needed to re-finance their mortgage.

The credit score was low, so a B lender was chosen. Unsecured debt was at the max with some slow recent payments.

I was able to use a secondary child tax benefit allowance as additional income to help the clients qualify for a one year term.

I am helping them restore their credit score so I can renew them back to a preferred lender in 1 year.  I saved them $1,200 a month in payments by consolidating everything into a single mortgage payment.

The best part.. in their own words. Lindsay we were at the end of our rope, until you were able to help us and keep us in the family home we love.

Let me make a difference for your clients.

Lindsay

Lindsay Doke

Mountainview Mortgage

Mortgage Agent 

License M18001723

E    lindsay@mountainviewmortgage.ca

C    416 464 6423

Creative Solutions for Creative Times 

Lock in that HELOC

You were always a variable mortgage account.  

Your debt was added to your HELOC

You need to lock in

There are 3 rate increases forecast for 2018.

Renew Your Mortgage 


Why?

No stress test.
Private money available

Freelance, Contract or Independent Contractor friendly

Financial Wealth Planning 101

Save for a rainy day

Pay Yourself First

Save for Retirement

Freedom 55 ....   Pick your program   BUT we need to be taught to pay ourselves first.

Yup, the registered retirement savings plan. How else can you transfer $26,000 from one bank account to another and, for the simple act, save a potential $14,000 in tax? In the days of eat-the-rich liberalism, how did the RRSP slip through the cracks? After all, the more money you make, the greater the benefit. It allows 1%ers to contribute huge sums of cash, to write that off taxable incomes, then grow assets for decades without ever being taxed. Finally, if they’re crafty, they can retrieve a lot of that wealth without exit tax.
So the deadline to make a contribution deduct it from 2017 taxes is midnight tomorrow. The maximum amount possible is 18% of what you earned last year, to that limit of twenty-six grand. Plus add in all contributions you never made in the past. Plus an overcontribution of $2,000.
If you lack the money, borrow it. Banks will loan at prime (3.45%) and usually not require payments until your refund arrives. Use it to pay off a chunk of the loan. Now you’ve created instant equity. Or, as mentioned, transfer money (or assets) now owned into a self-directed RRSP – called a ‘transfer in kind’ – and the government will send a refund for selling yourself stuff you already owned.
If you earn more than your squeeze, open a spousal plan, stuff it up to your contribution limit and write it off your income. After three years s/he can withdraw it and pay tax at the lower rate. Presto. You’ve income-split. Ditto for a mat leave. Just plan to have a baby three years after you contribute (c’mon, let’s show a little discipline here…) and the plan can be collapsed to fund the time at home.
Sadly, most moisters don’t get any of this. Four in five, surveys indicate, have no intention of using an RRSP whatsoever – mostly because ‘retirement’ is a fuzzy, far-away, hazy thing and they’re cynical, suspicious little hipsters, anyway. What a fail. The biggest use of an RRSP is not for funding your wheelchair or boxes of KD in old age but rather for tax-shifting.
Get laid off? Use the cash in the RRSP to live on. You got a big refund when you contributed and pay little or no tax when you take it out. Sure helps.
Want a sabbatical between gigs? Then live off the RRSP money, travel the world and don’t stress about income.
Got pregnant? An RRSP is perfect for saving and growing money when you’re working, then using it to finance the pregnancy at little or zero tax.
There’s more. Like putting a mortgage inside an RRSP and make payments to yourself. Or (of course) using the RRSP bonanza to fund your TFSA. Or utilizing accumulated RRSP room to soak up the cash portion of a pension you’re commuting. Or making a contribution, getting a refund, then using both to buy a home with a bigger down payment – without triggering tax.
So why are RRSP contributions going downhill? (The average is under $5,000.) Why are so many people taking money out of their plan instead of putting it in? (As mentioned here a while back, one bank found 40% of us are raiding the plans, mostly to buy a house or pay for general living expenses.) And why are people so piteously ignorant of what this thing is, and can be used for. (Another survey found 60% of moisters think they can use RRSP money to pay for daycare.)
Simple. Nobody teaches this.  http://www.greaterfool.ca/2018/02/28/who-knew/

We need to have classes on how to earn and save our own money.

http://RenewYourMortgage.ca 

Working towards your best interests - Renew your Mortgage Toronto

“What will really save clients money is finding someone who will take the time to meet with you and understand your wants and needs,” Maguire said. “My opinion is clients should deal with someone who has their best interest at heart.”

http://www.mortgagebrokernews.ca/news/broker-miffed-by-rate-shopping-advice-201753.aspx


http://RenewyourMortgage.com

Toronto Real Estate

Spring 2015 edition of CMHC's Housing Market Outlook

Spring 2015 edition of CMHC's Housing Market Outlook - Greater Toronto Area is now available and can be accessed by clicking on the link below.

http://www.cmhc-schl.gc.ca/odpub/esub/64319/64319_2015_B01.pdf

Here are the highlights for the current edition:

•Condominium apartment starts will dominate construction in 2015 and 2016 •Low mortgage rates and increasing consumer confidence will boost existing home sales in 2015 before edging lower in 2016 •Rising supply of condominium apartments for rent will exert some upward pressure on the average vacancy rate •Lower oil prices will help to boost employment

Looking for a Mortgage Renewal?

http://www.renewyourmortgage.ca/

The Bank of Mom and Dad

Mortgage Tip of the Day:

This one is very clever and it came to me from a client.

A client was getting a gift from their parents for part of the down payment on their new home. This clever person took the gift and contributed to their RRSP. Then they withdrew the funds without penalty (first time buyer) and used the gift for the down payment as it was intended! 

By doing this they got the tax benefit on their income tax AND they have made a commitment to contribute the funds back to the RRSP for the next 15 years! 

Smart smart smart! 

I am now going to promote this plan every time I have first time buyer getting a gift. (Did I mention my client's mom is a financial planner?)

Thank you Marcy Berg! 

http://renewyourmortgage.ca 

You should be using every TIP you can to maximize your equity.
Call today!   647 218 2414